DRAM makers prioritize AI data center demand, sparking automotive semiconductor shortage

As we approach 2026, the automotive industry is bracing for yet another potential crisis: a shortage of dynamic random access memory (DRAM) chips. This anticipated shortage will not be quite as dramatic as the 2021 crisis—which prevented more than 10 million cars from being built that year—but could potentially be more disruptive and long-lasting than the 2025 Nexperia incident. DRAM is found in the compute-heavy systems in cars, namely in cockpit and in ADAS/Autonomy systems. However, major DRAM manufacturers are increasingly reallocating their wafer capacity toward high-bandwidth memory (HBM) for AI data centers. The profitability and demand for HBM far exceed those of traditional automotive applications, leaving automakers increasingly vulnerable to an automotive supply chain crunch that could rival the previous shortages. In this episode of Fuel for Thought, we dive deeper into the shortage and explain what automakers need to do in order to adapt. Speakers: Jeremie Bouchaud, Executive Director, Supply Chain and Technology, S&P Global Mobility Guido Vildozo, Associate Director, Consulting, S&P Global Mobility (Host)