SAN DIEGO, Dec. 8 -- A massive surge in demand for AI server components is creating a critical memory chip shortage that is now rippling through the consumer electronics market, with major PC makers like Lenovo, Dell, and HP all warning of imminent price hikes.

Industry sources saod that both Lenovo and Dell have begun issuing price-hike alerts to customers, with Dell's increases of 15-20 per cent expected to take effect as soon as mid-December, according to a Trendforce report.

The warnings from the industry's top executives have been stark.

Dell's chief operating officer, Jeff Clarke, recently told Bloomberg that he has "never seen memory-chip costs rise this fast," while HP's CEO, Enrique Lores, has warned that the second half of 20...