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# Amazon hikes hardware prices by 60 percent, blaming memory shortage

**[TechCrunch](https://daily.dev/sources/tc)** · 2 min read · 0 upvotes · 0 comments

## Summary

Amazon has raised prices on Echo, Fire TV, Kindle, and Eero devices by as much as 60 percent, citing rising memory and storage component costs. The Echo Dot jumped from $49.99 to $79.99 overnight. Amazon says it will still offer occasional promotions over the next year. The increases come amid a global memory shortage driven by the AI boom, dubbed 'RAMmageddon,' which has also pushed Apple to raise Mac and iPad prices and introduce a device leasing program. Samsung expects the shortage to worsen through 2027 and stabilize by 2028.

## Full article

daily.dev links to this article rather than hosting it. Read it at the original source: <https://techcrunch.com/2026/08/24/amazon-hikes-hardware-prices-by-60-percent-blaming-memory-shortage>

## Questions this post answers

### Why did the price of the Amazon Echo Dot jump so much recently?

The Echo Dot price rose 60 percent, from $49.99 to $79.99, because Amazon raised prices across its hardware lines including Fire TV, Kindle, and Eero devices. Amazon attributed the hikes to significant increases in memory and storage component costs tied to a global chip shortage, saying it had absorbed the costs as long as it could before adjusting pricing.

_daily.dev surfaces hardware and component market news for developers tracking supply chain shifts._

### What is causing the global memory chip shortage affecting device prices?

The shortage, nicknamed RAMmageddon, is fueled by the AI boom driving unprecedented demand for memory and storage components. It has pushed up production costs across the consumer electronics industry, prompting companies like Amazon and Apple to raise device prices. Samsung expects the shortage to worsen through 2027 before prices potentially stabilize by 2028.

_engineers weighing hardware budgets can follow memory market trends on daily.dev._

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---

Tags: [#tech-news](https://daily.dev/tags/tech-news), [#hardware](https://daily.dev/tags/hardware), [#amazon](https://daily.dev/tags/amazon)

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