As we head into the final weeks of 2025, UK IT decision-makers are grappling with significant price increases for enterprise servers and storage. Explosive demand for AI infrastructure has triggered severe shortages in DRAM and NAND flash memory, pushing component costs up dramatically—and vendors like HPE and Dell are passing these on to customers.
While disk-based storage feels the strain, tape solutions such as the HPE StoreEver MSL series remain a stable, cost-effective option for archiving and backup. Here's what UK businesses need to know about current trends, specific impacts on popular server lines, and strategies to manage costs heading into 2026.
Why Server and Storage Prices Are Surging in Late 2025
The primary driver is AI. Hyperscalers and enterprises are building massive AI training clusters, consuming vast quantities of high-bandwidth memory (HBM), DRAM, and NAND. Manufacturers like Samsung, SK Hynix, and Micron have shifted production to these high-margin products, creating shortages in standard server-grade components.
Key facts:
- DRAM contract prices have risen up to 171% year-over-year.
- NAND flash prices have doubled in some cases, with enterprise SSDs particularly affected.
- HPE has explicitly warned of 15% server price increases due to rising memory costs.
These shortages are expected to persist into 2026, with analysts forecasting continued upward pressure on pricing.
HPE ProLiant Servers: 15% Increases Confirmed
HPE's popular ProLiant Gen11 and emerging Gen12 series are directly impacted. In its Q4 2025 earnings, CEO Antonio Neri confirmed that rising DRAM and NAND costs will lead to targeted price hikes of around 15% on servers.
Expected impacts on key models:
- DL360/DL380 Gen11: Popular for virtualization and general workloads—expect 10–15% uplifts, especially on memory-heavy configurations.
- AI-optimized models (e.g., DL380a): Higher increases due to dense DRAM requirements.
- ProLiant remains a strong choice for UK businesses with its reliability and GreenLake flexibility, but locking in quotes now is critical before full 2026 adjustments hit.
Dell PowerEdge Servers: Similar Headwinds Ahead
While Dell hasn't announced exact percentages as publicly as HPE, the same memory shortages affect its PowerEdge lineup. Industry reports indicate Dell is facing "unprecedented" component cost pressures, with potential double-digit increases likely in early 2026.
Key models affected:
- R760/R750 series: Workhorses for data centers—memory and NVMe configs will see the biggest jumps.
- Dell's APEX as-a-service model offers some budgeting predictability, but hardware refresh costs are rising.
HPE StoreEver MSL Tape Libraries: A Stable Alternative
Amid disk price volatility, tape storage shines. The HPE StoreEver MSL series (e.g., MSL2024) provides reliable, ransomware-resistant archiving with stable pricing unaffected by NAND shortages.
Benefits in 2025/2026:
- Entry-level MSL2024 libraries start around £1,500–£3,000 (reseller pricing).
- LTO-9 cartridges ~£90 for 18TB native—far lower long-term $/TB than rising SSDs.
- Ideal for air-gapped backups, compliance, and cold storage.
Strategies for UK Businesses in 2026
- Accelerate refreshes now — Secure pre-increase pricing where possible.
- Adopt hybrid storage — Combine servers with tape for tiered, cost-effective data management.
- Partner with resellers — Tier-1 partners like Servnet often secure better pricing and can lock in deals.
- Explore as-a-service models — HPE GreenLake or Dell APEX for predictable OPEX.
How Servnet Can Help Mitigate Rising Costs
As a UK-based HPE and Dell tier-1 partner, Servnet consistently beats direct pricing—even in this challenging market—often by 10–30%. We specialise in:
- Pre-increase quote locking for ProLiant and PowerEdge.
- Optimised MSL tape deployments for secure archiving.
- Free TCO comparisons and infrastructure audits.
Many clients are saving five figures by acting now.
The Bottom Line
2025's memory crunch is reshaping server economics, with HPE confirming 15% hikes and Dell facing similar pressures. Smart UK businesses are blending high-performance servers with stable tape solutions like HPE StoreEver MSL to control costs while preparing for AI-driven growth.
Don't wait for 2026 invoices—plan your refresh today.
Contact Servnet for a no-obligation quote comparison on HPE ProLiant, Dell PowerEdge, or StoreEver MSL solutions.
