AI is raising PC and memory costs: How to extend device lifecycles

Most conversations about AI focus on productivity and efficiency gains, security and data privacy, agents and digital assistants, and the infrastructure required to support them. But AI is also creating ripple effects across enterprise IT that many organizations have yet to consider.

As hyperscalers and AI providers continue scaling data centers, demand for dynamic random-access memory (DRAM) and solid-state drive (SSD) components has surged, consuming a growing share of global memory production capacity. Organizations are beginning to feel the impact through higher endpoint costs, longer refresh cycles, and reduced availability of lower-cost devices.

The impact is already becoming visible across the endpoint market. Gartner projects combined DRAM and SSD prices will increase 130% by the end of 2026, creating upward pressure on endpoint hardware costs. Additionally, Gartner expects personal computer (PC) prices to increase 17% and global PC shipments to decline 10.4% in 2026 as organizations delay hardware purchases and extend existing device lifecycles.

At the same time, TrendForce estimates that AI data centers will consume more than 70% of high-end DRAM supply in 2026, further constraining availability for traditional endpoint devices and increasing pricing pressure across the PC market.

This is already changing customer behavior. Gartner expects business PC lifecycles to increase by 15% by the end of 2026 as organizations look to offset rising hardware costs. Looking further ahead, Gartner predicts the sub-$500 PC market will effectively disappear by 2028 as increasing component costs make entry-level devices economically unviable.

These changes are forcing many organizations to rethink traditional endpoint strategies and look for alternatives that allow them to extend device lifecycles without compromising security, performance, or user productivity.

An alternative to traditional PC refresh cycles

As endpoint costs rise and refresh cycles lengthen, organizations need alternatives to the traditional approach of replacing devices every few years.

Horizon® virtual desktops and apps help reduce dependency on endpoint hardware by delivering desktops and applications from centralized infrastructure. This allows organizations to extend device lifecycles, reduce endpoint costs, and deliver a secure, consistent user experience.

Extend device lifecycles 

One of the most direct ways organizations can respond to rising endpoint costs is by extending the useful life of existing devices. By centralizing compute and desktop delivery, Horizon allows users to access applications and workloads from almost any device.  

This enables organizations to delay costly hardware refreshes, repurpose aging PCs and thin clients, and reduce overall endpoint lifecycle costs without compromising productivity. 

Deliver a high-performance user experience

Extending device lifecycles does not have to come at the expense of user experience. Horizon delivers a responsive desktop and application experience across a wide range of devices and network conditions.  

With the Horizon Blast Extreme display protocol, organizations can support collaboration tools, multimedia applications, and even graphics-intensive workloads. Virtual workstations and environments enabled with graphic processing units (GPU) can be centralized in the data center or cloud, reducing the need for expensive physical workstations while maintaining a consistent experience for remote, hybrid, and in-office users.

Strengthen security with centralized control

Keeping devices in service longer can introduce security concerns, particularly when endpoints become difficult to manage or lack the latest hardware protections. Horizon helps address these challenges by keeping desktops, applications, and data in the data center or cloud rather than on the local device.

IT teams can apply policy-based controls based on user, device, location, and network context while limiting capabilities such as USB access, printing, clipboard sharing, and client drive redirection. This allows organizations to maintain stronger control over the workspace while reducing endpoint risk.

Deliver applications without replacing hardware

Applications often drive hardware refresh decisions. As software requirements increase, organizations are frequently forced to replace devices simply to support the latest applications.

Horizon provides an alternative by delivering applications from a centralized infrastructure rather than requiring them to run locally on the endpoint. With App Volumes™ and its Apps on Demand capabilities, organizations can extend access to business-critical applications on existing devices, deliver applications dynamically, support specific application versions for different workflows, and simplify application lifecycle management.

The result is a more flexible and cost-effective approach to application delivery that reduces operational complexity while helping organizations maximize the value of their existing hardware investments.

Moving forward in an AI-first world 

As AI infrastructure demand continues to reshape endpoint economics, extending device lifecycles and reducing endpoint dependency will become increasingly important strategies for controlling costs.

Now is the time to rethink how desktops and applications are delivered. Contact your Omnissa representative to discuss how Horizon® can help reduce dependency on endpoint hardware and maximize the value of your existing device investments.