New Delhi, Jan. 23 -- Intel flagged the soaring cost of memory components as one of the reasons for the chip company's downbeat outlook. Expect more technology hardware companies to be hit by the same issue, including Apple.

Intel CFO David Zinsner told Barron's that memory prices could be a challenge in the second half of the year following the company's earnings, although it had secured supply for the first two quarters of the year.

Demand for memory components in artificial-intelligence hardware will send costs of the parts surging 40%-50% in the current quarter, after a similar gain in the final quarter of 2025, according to Counterpoint Research.

"Intel did note that higher component costs, particularly related to increased memory...