HP says memory’s contribution to PC costs just doubled to 35 percent

HP Inc. has revealed that memory now accounts for 35 percent of the cost of materials it needs to build a PC, up from between 15 and 18 percent last quarter. And the company expects RAM’s contribution will rise through the year.

Speaking on the company’s Q1 2026 earnings call, interim CEO Bruce Broussard said the company has secured long-term supply agreements for the year and also “qualified new suppliers [and] built in strategic inventory positions for key platforms and cut the time to qualify new material in half to accelerate our product configuration changes.”

That sounds a lot like HP Inc is signing up new suppliers at a brisk pace. Broussard said the company has also “expanded lower-cost sourcing across our commodity basket, lowering logistics costs with agile end-to-end planning processes.” The company is using its internal AI initiatives to power those new processes.

The company is ...