Key Takeaways
1. Memory Shortages: Expanding AI data centers are causing significant shortages in memory supplies, affecting products like microSD cards in Japan.
2. High Demand for Storage: AI companies are driving up demand for high-capacity storage options, making it challenging for other consumers, such as gamers, to find alternatives.
3. Impact of Game-Key Cards: The introduction of Game-Key Cards requires gamers to purchase additional microSD Express cards, raising costs and complicating game installation.
4. Pricing Trends: While flash card prices in the U.S. are rising, they are not increasing as sharply as DDR5 memory, but high costs still pose concerns for Switch 2 owners.
5. Broader Implications: The memory shortage could lead to price hikes for various gaming consoles, impacting a wider audience beyond just Nintendo fans.
Expanding AI data centers are leading to memory shortages and causing consumer prices to soar. The NAND flash memory market is also feeling the pinch, with microSD cards in Japan frequently selling out. Facing backlash over rising prices, the microSD Express standard designed for Switch 2 storage is in jeopardy.
MicroSD Availability Issues
Tom’s Hardware pointed out an IT Media report that tracks the lack of microSD cards in stores. Japanese retailers have observed that the higher-capacity cards, particularly those ranging from 512GB to 2TB, are the most sought after. Even larger traditional hard drives are becoming increasingly difficult to find in stock.
Demand from AI Companies
Businesses focused on AI technologies require significant storage to train and create new models. As they purchase M.2 SSDs and traditional drives, other buyers will be searching for alternatives. Unfortunately, for gamers eager to expand their Switch 2 storage, microSD Express cards are appealing when speed is essential.
Game-Key Cards and Their Impact
The rise of Game-Key Cards has made it vital to supplement the handheld’s 256GB UFS 3.1 internal storage. Switch 2 titles only come with a small amount of data on their cartridges, necessitating large downloads. While game preservation advocates oppose this format, it’s also making it pricier to keep the console up and running.
Game-Key Cards are more affordable for publishers compared to Nintendo’s 64GB Game Cards. However, gamers who need to buy several microSD Express cards to install their games may not see any real benefits.
Pricing Trends in the U.S.
In the U.S., the faster flash cards aren’t experiencing the same steep price hikes as DDR5 memory. Nonetheless, 1TB options from brands like Lexar still require a $200 investment. Even higher prices might cause Switch 2 owners to reconsider building a large library.
It’s not just Nintendo enthusiasts who could struggle with dwindling supplies. Moore’s Law is Dead recently disclosed that the memory shortage might result in yet another price hike for Xbox consoles.
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