Storage and data management solutions company Everpure said it has raised its product prices by an average of 70 percent this year, citing a sharp rise in procurement costs for major semiconductor components.

Japanese outlet ITmedia reported on Monday local time that Everpure Chairman and Chief Executive Charles Giancarlo (찰스 지안카를로) said in a notice to customers that prices for key semiconductor components the company procures have jumped fourfold to 10-fold since mid-2025.

Everpure is an enterprise storage company that changed its name in March from its previous name, Pure Storage, to Everpure. The company cited surging semiconductor procurement costs and supply shortages as factors behind the price increase. Giancarlo said procurement costs for major high-volume semiconductor parts Everpure buys have surged to levels up 300 percent to 900 percent. He said cases have also occurred in which semiconductor makers have been unable to supply the volumes originally promised due to a sharp rise in demand.

The price increases are already under way. The company made a recent quarterly price adjustment and said Everpure product prices have risen by an average of about 70 percent since the start of the year. Giancarlo said there is a possibility of further price adjustments. The move reflects a view that the rise in semiconductor procurement costs is not a temporary shock.

The company pointed to changes in semiconductor production priorities driven by the spread of AI as the backdrop to the current supply crunch. Giancarlo said semiconductor makers are shifting limited production capacity to AI-related components that can generate higher profits. As a result, supplies of semiconductors for other uses are shrinking further and price increases are accelerating, he said.

He also stressed that the high-cost environment is unlikely to be resolved in the short term. Giancarlo said this supply-demand imbalance is likely to last much longer than the disruption during the COVID-19 period. He said the high-cost environment could persist for years unless AI demand slows sharply within the next year. He cited the need for years and investments worth billions of dollars to expand new semiconductor production facilities, and rising costs for factory construction and equipment purchases.

This announcement is not limited to the pricing policy of a single storage company. The outlet said the sharp rise in procurement costs for semiconductor components is a phenomenon occurring across the broader IT industry. As a result, market attention is focused on the possibility that prices for hardware such as servers and storage will remain high for the time being.

Companies’ IT procurement strategies are also expected to be affected. As hardware makers with high semiconductor dependence, such as Everpure, begin reflecting rising costs in product prices, corporate customers are in a situation where they must review equipment rollout timing and budget planning. In particular, if AI-related semiconductor demand continues to squeeze supplies of other components, price instability in the storage and server markets may not end in the short term.