Extinction Watch: Computers under $500 are at risk, according to report

A spike in memory prices may cause computer makers to stop selling laptops and desktops that cost less than $500, according to a new report. Report from Research company Gartner.

The same forces that could fuel the increase in smartphone prices will impact the PC market by 2028, according to the report, with a combined 130 percent increase in RAM and SSD storage costs pushing PC prices up 17 percent. Gartner expects that higher prices will cause people to keep computers longer rather than upgrade them, making it difficult for PC brands to absorb the costs.

“Ultimately, we expect the sub-$500 PC segment to disappear by 2028,” said Ranjit Atwal, senior analyst at Gartner. In addition, price trends will slow the adoption of the so-called Computers powered by artificial intelligenceWhich is designed to handle some AI tasks on the device. Gartner says it will take until 2028 for PCs with artificial intelligence to make up 50 percent of the PC market.

The company expects smartphone prices to rise by about 13 percent by 2028.

Budget computers that cost $500 or less are usually ideal for younger students or those who don’t use them for intensive tasks like video editing or gaming. They generally come in the form of laptops, desktops, or hybrid tablets with touch screens. Chromebooks, which run Google’s ChromeOS operating system, are another type of computer that typically falls into this low-cost range.

Gartner’s report comes at a time when Apple is expected to… Budget MacBook The model is out as early as this week, which could cost around $600. The company makes the Mac Mini M4 desktop model starting at around $600, but the entry-level model can sometimes be found on sale for around $500.