Independent of politics, I’m hearing claims about memory prices that I think are wrong: that prices will slowly fall because Democrats swept the election.
What happened, and what people are saying
As of midnight ET, Democrats are projected to control both chambers. CBS News called the House for Democrats at 10:15 p.m. and the Senate shortly after 11:30 p.m. CNBC’s Election Desk projects at least 245 House seats and at least 51 Senate seats, with the Michigan Senate race still being counted.
Source: CBS News live updates, November 3–4, 2026 · CNBC election live updates, November 3, 2026
The bear case for memory runs like this: Democrats are more likely to constrain data centers, fewer data centers means fewer memory orders, and fewer orders means lower prices. Reuters reported that analysts expect a Democratic majority to bring closer scrutiny of AI, potentially pressuring data-storage and memory names such as Micron Technology, Sandisk and Seagate. Overnight, CNBC reported traders betting that Democrats will slow the data-center buildout, and Ameriprise Financial’s chief market strategist, Anthony Saglimbene, asked what Democratic governorships would mean “for the data center buildout.” SK hynix and Samsung fell in Seoul on concern about tighter AI data-center rules.
Source: CNBC markets live updates, November 3, 2026 · Seoul Economic Daily, November 4, 2026
I disagree, for three reasons.
1. Memory is undervalued
I think memory as a category is undervalued. Memory has value on its own, whether or not AI or the internet is the driver.
2. Fewer data centers doesn’t mean less memory
Democrat-leaning states such as New York have begun restricting data centers. In July, Governor Kathy Hochul signed Executive Order 62, the country’s first statewide pause on new large data centers, blocking permits for facilities that use 50 megawatts or more.
Source: WAMC, July 14, 2026 · Foley & Lardner, August 3, 2026
Democrats, as a group, are not friendly to artificial intelligence. Per Axios figures cited by TipRanks, 32.4% of Democratic candidates backed a data-center moratorium, versus 3.4% of Republicans. In NBC News exit polling, 56% of voters said data centers were a crucial or major factor in their vote.
Source: Axios, November 3, 2026 · Data Center Watch, November 2, 2026 · NBC News exit poll, November 3, 2026
That will make data-center construction a fight, and it will push AI companies toward CPUs and away from GPUs. That shift still depends on memory: Morgan Stanley estimates agentic AI could add 15 to 45 exabytes of DRAM demand by 2030, equal to 26% to 77% of 2027’s annual DRAM supply.
Source: Morgan Stanley estimate via ANI / The Tribune, April 22, 2026
3. The open-source wildcard
Related to the point above is a fear I have: that Democrats (and many Republicans) could ban open-source models outright.
It isn’t implausible. This summer, reports that U.S. officials were considering a ban on Chinese open-weight models triggered an industry fight, and Nvidia, Microsoft, Meta, IBM, and Mozilla signed an open letter defending open-weight AI.
Source: Tom’s Hardware, July 2026
Others likely share that fear and will want to keep the most capable models. If a ban happened, memory prices would surge.
Rambus ($RMBS). It’s the only name touching both legs with little GPU content. It sells DDR5 chips per server module, so it tracks CPU-server builds rather than DRAM prices. Q3 revenue was a record $218M, up 22%, but the stock slipped after earnings. It also isn’t cheap (about 26x annualized non-GAAP Q3 EPS, my math). (MarketBeat, Webull)
Source: Rambus third-quarter 2026 results (SEC filing), October 26, 2026 · MarketBeat, Rambus Q3 call highlights, October 26, 2026
Intel (INTC). It’s the only large-cap way to own CPUs with essentially no GPU business. Data center revenue jumped 78%, and supply constraints are expected into 2027. But memory costs are weighing on its PC business, and Q4 EPS guidance of $0.25 versus $0.43 expected sank the stock more than a quarter. (EarningsWhispers, KuCoin)
Source: Intel third-quarter 2026 results, October 29, 2026
Disclosure: This is my personal opinion and it isn’t investment advice. I don’t know your situation, and nothing here tells you to buy or sell anything. As of November 4, 2026, I hold put options on AI stocks; my October 31 article lists those positions as of that date, including Nvidia and Meta, both named here. Those puts make money when the stocks fall. I don’t own Rambus, but I may buy it when or if my puts hit or near their targets, or as a hedge. I may buy or sell at any time without telling you. These views are mine and not those of any client or firm I work with.