Raspberry Pi Raises Prices Amid AI-Driven RAM Shortage

Raspberry Pi implemented significant price increases across more than a dozen products starting April 1, 2026, citing a sevenfold rise in LPDDR4 RAM costs over the past year. The price hikes, the third such occurrence in less than six months, were driven by a global memory shortage as AI data centers divert massive wafer capacity. The Raspberry Pi 500+ saw the largest increase of $150, bringing its price to $410, while the 16GB Raspberry Pi 5 rose from $120 to $299. Other models, including 4GB and 8GB versions of the Pi 4 and 5, increased by $25 to $50.

To provide a more affordable alternative, the company launched a new Raspberry Pi 4 model with 3GB of RAM priced at $83.75. CEO Eben Upton described the current market strain as "challenging but temporary," stating that the company will reverse the increases once memory prices abate. He advised customers to "right-size" their memory needs in the interim.

The situation reflects a broader "AI tax" affecting consumer electronics. Industry analysts note that AI projects, such as OpenAI's Stargate, are consuming vast amounts of global RAM capacity, leading to mid-cycle price hikes for laptops, smartphones, and game consoles. Experts warn that memory prices may remain elevated until at least 2028 due to the slow pace of building new fabrication plants and the market dominance of manufacturers like Samsung, SK Hynix, and Micron.