AI Boom-Induced Memory Shortage Hits Automakers: GM and BYD Raise Prices

The shortage of memory chips, driven by the artificial intelligence boom, has now reached the automotive industry. General Motors has revised its previous forecast and now expects new car prices to rise by 0.3% this year. GM CFO Paul Jacobson stated that the company's costs have increased by $1.5-2 billion, mainly due to the rising cost of automotive components, especially memory chips. Chinese auto giant BYD has raised prices for advanced driver assistance systems by 20%. According to Micron, the average modern car uses 90 gigabytes of DRAM and NAND memory, and by 2026 this volume will grow to 278 gigabytes; premium models may consume up to 2 terabytes. Infotainment systems require 4 to 16 gigabytes, ADAS systems require 8 to 32 gigabytes, centralized systems require 16 to 64 gigabytes, and with the advent of AI assistants, at least 256 gigabytes will be needed. For vehicles with Level 4 autonomy, at least 300 gigabytes of RAM are required. The production of automotive memory takes longer due to the need for certification, which exacerbates the shortage and could lead to delivery delays and further price increases.