Free PCs for low-income households and stricter market oversight – how South Korea is responding to the memory crisis

Rising memory prices are weighing on businesses and consumers worldwide. While Intel and Nvidia are already working on technologies that could reduce the burden on gamers, South Korea is preparing a broader package aimed at preserving access to PCs for low-income citizens despite high hardware prices. The government wants to monitor the market more closely, pass decommissioned public-sector PCs on to people in need, expand support for students from low-income households and ensure internet access even after users have exhausted their data allowances.

Stronger market oversight

The most important part of the package is likely to be tighter market oversight. As Tom’s Hardware reports, the Ministry of Trade, Industry and Energy and the Fair Trade Commission are expected to review distribution, supply and pricing conditions and intervene if suspicious developments emerge. According to the report, the measures fall under the Ministerial Task Force for Special Management of People’s Living Costs, which is intended to keep a close eye on the prices of goods and services that are directly relevant to everyday life. If the prices of DRAM, SSDs or laptops rise much more sharply within a short period than normal market movements would suggest, the authorities could specifically investigate whether retailers or manufacturers are artificially restricting supply.

Free PCs and subsidy program

Another central element is the reuse of old government computers. According to Tom’s Hardware, South Korea’s central government decommissioned 22,000 computers last year, more than half of which were scrapped even though many would still have been suitable for basic tasks after maintenance. These machines are now set to be distributed free of charge through programs such as Love Green PC and AI Digital Learning Center, with the aim of getting them into the hands of local recipients who need them.

Students from low-income households are also set to receive more support. The Korea Herald reports that the government plans to expand its subsidy program for students purchasing PCs. The package also includes a reform of mobile tariffs. According to the reports, all LTE and 5G plans from the country’s three major carriers will in future have to provide minimum speeds of around 400 Kbps even after the included data volume has been used up. This should at least ensure that basic communication remains possible.

Skepticism from the community

The package has not been met with approval across the board. In the Reddit thread on the issue, the overall mood is largely skeptical. Many users praise the recycling of older PCs as a sensible social measure, but doubt that Seoul will act firmly enough against the root causes of the problem. The accusation of a “memory cartel” comes up repeatedly, with the two South Korean manufacturers Samsung and SK hynix seen as major players shaping price trends in the memory market.