South Korea electronics prices surge as AI boom fuels chip shortages

Prices for computers and other electronics have risen sharply in South Korea, citing data from the Korean Statistical Information Service (KOSIS). Prices for durable goods rose 4.9% in September from a year earlier, the biggest increase in 17 years, according to Newsis . Computer prices jumped 27.4% year-on-year, while prices for tablets and data storage devices rose 22.5% and 45.9%, respectively. Mobile phone prices increased 8.3%, partly reflecting the launch of new smartphone models as manufacturers passed higher component costs on to consumers. RECOMMENDED STORIES North Korea calls tactical ballistic missile test a 'big success' South Korea unveils first military AI training base How South Korea plans to use AI robots to reduce risks for soldiers North Korea fires multiple ballistic missiles toward East Sea Prices for DRAM memory surged 476.1%, while flash memory prices jumped 250.6%. Newsis said the price increases were driven by growing investment in artificial intelligence data centres, which has boosted demand for semiconductors and contributed to shortages of memory chips. South Korean authorities said containing electronics price increases under current market conditions would be difficult. The Ministry of Economy and Finance said the rise in semiconductor prices, which it described as nearly inevitable, was gradually feeding through to prices for durable goods. News.Az By Zaur N.