DDR4 and DDR5 RAM prices will rise at the end of 2023

Prices for most hardware components are expected to rise by the end of 2023 due to economic downturn. This price increase includes both DDR5 and DDR4 memory in the fourth quarter of this year.

According to a report from Technavio, the consumer DRAM market is expected to see a price increase of up to 8%.

In addition, an increase in the prices of random access memory (RAM) by up to 8% is also expected, resulting in a slight inflation in the prices of graphics cards and gaming laptops at the beginning of 2024.

The report points out that the reduction in Samsung's DRAM memory production is the main factor behind this price increase.

To compensate, manufacturers have planned to increase the prices of consumer DRAM memory contracts to avoid financial losses. This has led to a moderate price increase of only between 3% and 8%, due to the continuing unexpected decrease in demand.

The OEM DRAM memory market follows the same trend, with an expected price increase for DDR5 memory ranging from 3% to 8% and up to 5% for DDR4 memory. One of the factors contributing to the increase in DDR5 memory prices is the introduction of new central processing units (CPUs) this year, such as Intel's Raptor Lake Refresh and AMD's Ryzen Threadripper 7000 CPUs.

Price increases will also encompass random access memory like GDDR6 and GDDR6X due to increased demand for purchasing graphics cards despite their higher prices. This will lead to continued price increases for these types of memory in 2024.

The report indicates that no price increases are expected for DDR4 and DDR5 memory in the server DRAM market.

One of the main issues facing DDR5 memory for servers is its limited use, accounting for only 15% of the total inventory of DDR5 memory for servers in the third quarter of this year, a significantly low percentage.

These numbers show that the standalone graphics card market, gaming laptops, as well as DDR5 and DDR4 memory, will experience price increases in the near future.