OVH CEO predicts some cloud prices to rise 5-10 percent by mid-2026

The price of some cloud services will have to rise by five to ten percent by mid-2026, maybe sooner, according to Octave Klaba, CEO of French cloud OVH. In a weekend post to his X account, Klaba opened with the observation that the price of RAM and NVMe drives will increase significantly in around six months. The CEO …

[Dan 55]

"AI sends storage costs soaring"

Let's name names, Sam Altman's bought 40% of the global DRAM and wafer supply and set off a market panic.

If you need any, buy it now, it's not going to get any cheaper until the bubble pops.

Icon for Sam Altman.

[wolfetone]

Re: "AI sends storage costs soaring"

Not the worst idea really.

It's not as if RAM ever goes worthless in price. So even if you don't use it, stick it on eBay in a few years for 2/3's of what you bought it for and you don't lose your shirt on it.

[Steve Davies 3]

Or....

The AI bubble bursts big time.

In a week when a major Japanese Hedge Fund and those run by Peter Thiel have sold ALL their stock in AI companies there are warning signs that a bubble is about to pop and take a lot of people down with it. Bitcoin has also dropped around 15% in the last week.

I now don't hold any stock, US or elsewhere but if someone like Thiel is getting out of a sector then if I had any holdings in AI, I'd be taking a long hard look at what's going on.

Here is just one commentators take on it.

https://www.youtube.com/watch?v=c6YonTvlUS4&pp

[Like a badger]

Re: Or....

Clueless investors losing their shirts doesn't worry me, in fact I'll enjoy a bit of schadenfreude, unfortunately the knock on effects of multi trillion dollar losses will hit the banking sector hard (who will go crying to government for bailouts), and hit the real economy even harder. Meanwhile, governments remain fixated on the idea that AI can remediate their incompetence, as for example Starmer's hopeless AI action plan.

[Anonymous Coward]

Re: Or....

It's almost bonus time at the hedge funds, so sell now to realise profits and buy again in January after the crash and start the whole cycle again.

Keep moving between AI and Bitcoin, it beats coding for making money.

[Korev]

An interesting note from Octave Klaba

[DS999]

"have stocked up and can keep their prices steady"

Yeah right. If they buy something for $1 that they normally sell for $2 but is being sold for $5 due to demand, they are going to sell for $5 also and pocket the $4 profit. They aren't going to be "nice" and sell for $2. Even if they did, they'd be selling to scalpers who would sell for $5 and pocket the $3 profit.

[Dan 55]

Re: "have stocked up and can keep their prices steady"

Manufacturers who sell RAM or storage will play that game but manufacturers who sell complete products don't want to raise their prices if they can avoid it.