Xiaomi President Lu Weibing disclosed on Weibo that the company is facing steep increases in memory and storage costs, with the price for a package of 12GB of RAM and 512GB of storage rising by CNY 1,500 ($217) compared to the first quarter of last year. Previously, Xiaomi paid about $72 for this package, but the current cost has surged to approximately $288, indicating a nearly fourfold increase since 2025. To offset these rising costs, Xiaomi plans to raise the price of its Redmi K90 Pro Max by CNY 200 ($29) starting on April 11. This price adjustment will only affect the Chinese market, where the company has the lowest profit margins on its Redmi devices. While it remains uncertain whether similar price hikes will occur internationally, the ongoing increase in RAM and storage prices suggests that it is likely. The situation highlights the broader impact of the global chip crisis, exacerbated by heavy investments in AI data centers.