AMD has added the potential effects of the RAMpocalypse into its risk statements: 'There is currently an industry-wide memory shortage as the demand for such components has outpaced supply'

A dramatically lit close up of computer memory/ RAM on a motherboard-style background.

(Image credit: Remitski via Getty Images)

A look through AMD's recently released financial reports shows an interesting addition compared to the previous year. In its list of risk factors to its business (a required part of a Form 10-K filing) and under a section entitled "Economic and market uncertainty may adversely impact our business and operating results", AMD makes mention of the current memory supply crisis.

"Adverse changes in economic conditions could increase costs of memory, equipment, materials or substrates and other supply chain expenses.", says AMD. "For example, there is currently an industry-wide memory shortage as the demand for such components has outpaced supply.

AMD Ryzen 7 9800X3D processor — (Image credit: Future)

After all, most of its products are reliant on DRAM modules in some form or fashion, like most modern electronic devices. And while AMD does not directly manufacture memory itself, it does keep several long-term strategic partnerships with established memory manufacturers to ensure that DRAM is available to both itself and those that go on to sell its products, like board partners for graphics cards.

On the other side of the aisle, Zotac, a graphics card manufacturer that supplies Nvidia GPUs, recently said that the current situation was: "extremely serious—serious enough to raise concerns about the very survival of graphics card manufacturers and distributors going forward"

Looking to the wider market, however, memory pricing becomes an issue across the chain. AMD may have had a bumper year for CPU sales in both the desktop and mobile segments, for example, but if customers begin putting off upgrades (or are reluctant to buy new machines because memory prices are pushing up the MSRP), that effect will surely be felt in its processor sales, too.

Of course, AMD has an obligation to declare all the potential risks to its business, and so this could just be an example of ever-expanding boiler plate. However, it's another example of the wide-reaching potential effects of this... situation we all find ourselves in. May you live in interesting times, as the old adage goes.

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Andy built his first gaming PC at the tender age of 12, when IDE cables were a thing and high resolution wasn't—and he hasn't stopped since. Now working as a hardware writer for PC Gamer, Andy spends his time jumping around the world attending product launches and trade shows, all the while reviewing every bit of PC gaming hardware he can get his hands on. You name it, if it's interesting hardware he'll write words about it, with opinions and everything.

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