--- title: "Amazon quietly hikes device prices as memory shortage bites" url: https://daily.dev/posts/amazon-quietly-hikes-device-prices-as-memory-shortage-bites-xoulrcl0i source_url: https://daily.dev/posts/amazon-quietly-hikes-device-prices-as-memory-shortage-bites-xoulrcl0i type: collection source: "Collections" published: 2026-08-24T20:18:47.767Z updated: 2026-08-24T20:19:27.962Z tags: ["tech-news", "amazon", "supply-chain"] reading_time: 2 upvotes: 0 comments: 0 language: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # Amazon quietly hikes device prices as memory shortage bites **[Collections](https://daily.dev/sources/collections)** · 2 min read · 0 upvotes · 0 comments ## Summary Amazon quietly raised prices on Echo, Fire TV, Kindle, and Eero devices overnight on August 21, with some jumps as high as 60 percent (Echo Dot went from $49.99 to $79.99) and no advance notice. The company blames rising memory and storage component costs tied to a global chip shortage fueled by AI data center demand, dubbed 'RAMmageddon.' Ring cameras and Echo Studio were spared. Unlike Apple and Roku, which announced price hikes ahead of time, Amazon changed prices with no warning, though it says promotions will continue. Apple, Microsoft, and Roku have made similar moves, and Amazon raised its 2026 capex guidance to $220 billion partly due to memory costs. Samsung expects the shortage to worsen through 2027 before stabilizing in 2028. ## Content Amazon raised prices across its Echo, Fire TV, Kindle, and Eero lineups overnight on August 21, with some devices jumping as much as 60 percent. The Echo Dot went from $49.99 to $79.99 seemingly overnight, no warning, no announcement, just a new price tag the next morning. The company points to rising memory and storage component costs. That checks out — there's a genuine global memory shortage happening right now, driven largely by AI data centers gobbling up chip supply. People have started calling it "RAMmageddon," which is a little dramatic but honestly kind of fitting given how fast this is moving. Interestingly, not everything went up. Ring cameras and the Echo Studio were left alone, so this wasn't a blanket price increase across Amazon's entire hardware catalog. What stands out is *how* Amazon did this compared to everyone else. Apple and Roku both gave customers a heads-up before raising prices. Amazon just... changed them. Overnight. The company says it'll still run promotions throughout the year, so the sticker prices aren't necessarily what everyone will end up paying, but the lack of a warning feels like a choice worth noting. This isn't happening in isolation. Apple raised Mac and iPad prices and rolled out a device leasing program, which feels like a direct response to the same cost pressures. Microsoft's Xbox and Roku have made similar moves. Amazon itself bumped its 2026 capital expenditure guidance up to $220 billion, and memory costs are part of the reason why. Samsung's outlook doesn't offer much comfort either — the company expects the shortage to get worse through 2027 before stabilizing sometime in 2028. So if you're holding off on a Kindle or an Echo hoping prices settle down, you might be waiting a while. The AI boom is reshaping hardware costs across the board, and consumer electronics are apparently first in line to feel it. ## Questions this post answers ### Why did Amazon raise prices on Echo and Kindle devices without warning? Amazon cited rising memory and storage component costs driven by a global chip shortage, as AI data centers consume a growing share of memory supply. Prices on Echo, Fire TV, Kindle, and Eero devices rose overnight on August 21, with some jumping as much as 60 percent, including the Echo Dot going from $49.99 to $79.99. Ring cameras and Echo Studio were unaffected. _Anyone tracking how AI-driven chip demand ripples into consumer hardware costs can follow supply chain news on daily.dev._ ### How long is the memory and RAM shortage expected to last? Samsung expects the memory shortage to worsen through 2027 before stabilizing sometime in 2028, driven largely by AI data centers consuming chip supply. This has already pushed Amazon, Apple, Microsoft, and Roku to raise hardware prices, with Amazon also increasing its 2026 capital expenditure guidance to $220 billion partly due to memory costs. _Buyers timing hardware purchases around chip supply trends can keep up with the story on daily.dev._ ## Similar posts on daily.dev - [Roku raises streaming device prices by up to 60 percent as the memory shortage hits the living room](https://daily.dev/posts/roku-raises-streaming-device-prices-by-up-to-60-percent-as-the-memory-shortage-hits-the-living-room-cbotnwyzx) · The Next Web · 0 upvotes · 0 comments --- Tags: [#tech-news](https://daily.dev/tags/tech-news), [#amazon](https://daily.dev/tags/amazon), [#supply-chain](https://daily.dev/tags/supply-chain) [View this post on daily.dev](https://daily.dev/posts/amazon-quietly-hikes-device-prices-as-memory-shortage-bites-xoulrcl0i)