PC makers turn to Chinese chip maker CXMT as memory shortage deepens

The shift toward Chinese memory suppliers reflects a collision between two structural forces: explosive AI infrastructure spending and geopolitical fragmentation. AI data centers are projected to absorb 70% of memory chip production by 2026—a demand surge that has nearly quadrupled DRAM costs over 18 months. Traditional suppliers like SK Hynix and Samsung, both South Korean firms, cannot meet this demand fast enough, forcing PC makers into an uncomfortable position. Rather than accept indefinitely high costs or shortages, Acer, Asus, and HP are experimenting with CXMT chips in limited volumes.

Yet this move carries real friction. CXMT is designated by the US government as linked to the Chinese military, which exposes PC makers to potential US regulatory action or supply-chain retaliation. At the same time, buying too heavily from CXMT could provoke their traditional suppliers to deprioritize them or raise prices further. The result is a delicate balancing act: using just enough Chinese chips to relieve immediate cost pressure without triggering either government scrutiny or supplier backlash. The outcome will likely depend on whether memory availability from established suppliers improves—if not, PC makers may feel compelled to increase Chinese chip sourcing despite the risks.