The Boom of AI is Fueling Tech Inflation, Rewriting the Two-Decade History of Tech Products Only Getting Cheaper

BlockBeats News, June 14th, AI is Driving Up US Inflation. In May, the consumer price of computer software and accessories rose by 14.5% year-on-year, marking the largest annual increase since records began in 2000. The producer price of electronic components skyrocketed by 27%, also hitting a historical high. By contrast, prior to 2026, prices of software and electronic components were decreasing almost every year.

Currently, the price of memory alone has more than doubled in a year, with DDR5 and DDR4 memory prices soaring by 290% year-on-year, as AI data centers have absorbed the vast majority of global chip supply. The impact of memory prices could keep inflation high throughout the whole of 2027, further compounding existing pressures from the Iran conflict. The prosperity of AI is fueling tech inflation.