The Cyprus Information Technology Enterprises Association (CITEA) is sending a clear message to both the government and the market following a meeting with the Deputy Minister of Research, Innovation and Digital Policy, Nicodemos Damianou, regarding the serious impact of the sharp increase in memory (RAM) prices and other critical technology components, according to a statement issued by the Association.
The statement after the recent meeting notes that the rapid growth of Artificial Intelligence (AI), combined with geopolitical developments and ongoing pressure on global supply chains, has created a highly unstable environment marked by unpredictable price increases in key technology components.
The Association adds that the market has reached a critical point, with companies required to implement projects under conditions of significant uncertainty, rising costs, and reduced predictability.
CITEA said it went beyond identifying the problem, presenting concrete proposals for immediate action aimed at preventing project delays and safeguarding the sustainability of the sector.
According to the association, without urgent adjustments to the current framework, projects risk delays or cancellations, companies are increasingly reluctant to participate in tenders, and financial risk across the sector is rising significantly.
At the same time, CITEA proposed the creation of a European IT Hardware Price Index to improve transparency, enhance predictability, and ensure a fair distribution of risk across Europe.
The proposal will also be submitted to Digital Europe, with the aim of initiating discussion at EU level and exploring its potential institutional adoption.
(Source: CNA)
