The impact of the global memory shortage on local pricing

28 February 2026 News

The ongoing global shortage of memory and storage components is continuing to push up technology prices in South Africa, with local distributors feeling the effects of sustained international demand. According to Esquire Technologies, the pressure is being driven less by manufacturing failures and more by a fundamental shift in how memory and storage are being consumed worldwide.

Mahomed Cassim, CEO of Esquire, explains that the rapid build-out of AI-focused data centres, particularly in the US, has become a major driver of the shortage. These hyperscale facilities are absorbing vast quantities of DRAM, SSDs, and high-capacity hard drives, leaving reduced supply for commercial, enterprise, and consumer markets. Global manufacturers have responded with repeated price increases on DRAM and NAND flash, a trend widely reported across the semiconductor industry.

This has translated into higher landed costs for South African distributors. While Esquire absorbed some increases late last year, new stock arriving from late January has inevitably carried higher pricing. Esquire estimates memory component prices have risen by 25% to 40%, with notebooks, desktops, and servers following closely. Pricing pressure is expected to persist into the first half of 2026, with only limited relief from currency movements and little chance of a return to pre-shortage pricing levels.

For more information visit www.esquire.co.za

Further reading:

RE+ South Africa 2026: From strategy to execution
News
Taking place at Gallagher Convention Centre in Johannesburg from 02 to 04 June 2026, this new addition to South Africa’s energy landscape introduces a focused commercial and industrial energy event within a proven exhibition platform.

Read more...

---

Africa Energy Indaba announces 2027 dates
News
Following the continued success and growing global impact of the Africa Energy Indaba, organisers have announced the dates for the 19th edition of the Africa Energy Indaba 2027.

Read more...

---

RS South Africa named master distributor for the Arduino UNO Q
RS South Africa News
RS South Africa announced that it has been named Master Distributor for the Arduino UNO Q SBC platform across South Africa and the broader African region.

Read more...

---

Engineering in a world that cannot assume connectivity
Technews Publishing Editor's Choice News
Across industrial automation, networking, and defence systems, engineers are rediscovering the importance of resilience and autonomy in an increasingly connected world.

Read more...

---

IOT secures major industry partnership
IOT Electronics News
IOT Electronics has announced a new strategic partnership with Powell Electronics, becoming an Official Authorised Reseller in South Africa.

Read more...

---

Successful Proteus training conference
Dizzy Enterprises News
Dizzy Enterprises recently hosted two hands-on Proteus Training Conferences, bringing together electronics professionals, designers, and enthusiasts to explore the latest capabilities of the Proteus Design Suite from Labcenter Electronics.

Read more...

---

Hitachi reinvents asset management solution
News
Hitachi Energy, in collaboration with Microsoft, is accelerating the digital transformation of essential infrastructure - from electricity networks and transportation corridors to heavy industrial operations - by reinventing how critical assets are managed and maintained.

Read more...

---

Mycronic releases mixed Q4 results
News
Mycronic reported mixed Q4 results for the year ended January to December 2025, while delivering record full year order intake and net sales.

Read more...

---

AGOA: Businesses should diversify or face significant exposure
News
Cross-border payments platform Verto has called on South African and African businesses to accelerate their transition toward a “post-AGOA” trade strategy following President Donald Trump’s signing of a one-year extension to the African Growth and Opportunity Act (AGOA).

Read more...

---

European components distribution growing
News
European electronic components distribution returned to growth in the fourth quarter of 2025, according to newly released figures from DMASS Europe.

Read more...

---