AI Hardware Demand Extends Component Shortages Into 2027

02 November 2026

Demand from AI server hardware is creating shortages in high-capacitance multilayer ceramic capacitors, or MLCCs, used in processors, power systems and DDR5 memory modules. TrendForce expects supply pressure to remain particularly severe through the first half of 2027.

Key takeaways

High-capacitance MLCC shortages are expected to be most severe during the first and second quarters of 2027 as server demand continues to rise.
Suppliers currently have limited spare production capacity, while meaningful additions to manufacturing output may not become available until 2028.
TrendForce says suppliers retain strong bargaining power and further price increases are being considered as demand continues to exceed available supply.

What this means for traders

The shortage adds another component category to the supply pressures already affecting memory and server hardware. Distributors and component traders should monitor allocation, lead times and quotation validity when sourcing MLCCs and related server components. The contrast between strong AI infrastructure demand and weaker consumer electronics demand also means supply conditions may vary considerably between component specifications and end markets.

Read the full article on TrendForce