Amazon Passes Memory-Chip Pain On to Echo and Kindle Buyers

Amazon Passes Memory-Chip Pain On to Echo and Kindle Buyers
Amazon built much of its devices business on low sticker prices. Now, as the race for AI infrastructure drives up memory costs, shoppers are being asked to absorb part of the bill.

The increases appeared overnight across Amazon’s first-party hardware lineup. The base Echo Dot rose from $49.99 to $79.99, while the Echo Show 11 climbed from $219.99 to $249.99. Kindle buyers also face sharper prices: the 16GB Kindle moved from $109.99 to $149.99, and the 16GB Kindle Paperwhite from $159.99 to $199.99.

Fire TV and eero products were swept in as well. The Fire TV Stick HD increased by $5 to $39.99, while the 4K Max jumped from $59.99 to $84.99; eero 7 and eero Pro 7 systems also rose by $50 and $100, respectively. Ring products were left untouched.

Amazon’s explanation is the same one increasingly offered across the technology sector: a shortage of memory chips, fueled by enormous demand for AI computing, is pushing component costs higher. An Amazon spokeswoman said consumer electronics companies are “facing significant increases in memory and storage component costs,” adding that Amazon adjusted prices only after “absorbing these increases for as long as we could.”

The timing underscores the awkward trade-off. Amazon is preparing new devices for its fall event even as it plans to spend $220 billion this year, chiefly on AI data centers. CEO Andy Jassy has said the company still will not have enough capacity to satisfy demand in 2026 or 2027. For customers, the immediate consequence is simpler: the cheap Amazon hardware bargain has become harder to find.

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