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Yikes: If you’re building a PC or want to add more memory, be prepared for sky-high pricing on DDR4 or DDR5 RAM.
RAM pricing has soared in recent weeks to shocking levels. "This is insanity," wrote one Reddit user, who reported buying 32GB of DDR5 RAM for $104 only to see the price shoot up to $220.
I bought a two-pack of 16GB DDR4 RAM sticks in May from Amazon for $51.99. The price has since jumped to an eye-watering $114.99. PCPartPicker, which monitors consumer RAM pricing at retailers, has also noticed the upward trend; for DDR5 RAM, the price increases started in September before accelerating this month.
(Credit: PCPartPicker)What’s going on? Research firm TrendForce, which tracks the memory market, reports demand for AI, including the construction of new data centers, has contributed to a memory shortage. This includes some tech companies stockpiling DRAM while signing longer-term deals with memory suppliers.
To meet the AI demand, the two top memory makers, Samsung and SK Hynix, have also been prioritizing HBM (high bandwidth memory) DRAM, according to Korea’s The Chosun Daily, which notes: “From a supply perspective, production capacity for general-purpose DRAM is inevitably shrinking.”
As for DDR4 RAM, pricing began to shoot up in June amid reports that memory makers including Samsung and Micron stopped producing the older RAM to focus on DDR5 and HBM RAM. TrendForce adds that some suppliers are “aggressively” shifting capacity toward server-grade memory, constraining supplies for PC-focused DDR5 and DDR4 supplies. "As a result, PC DRAM prices are forecast to continue edging upward through the quarter,” the research firm wrote last month.
Historically, DRAM pricing has been cyclical, with ups and downs involving memory makers ramping up production, overproducing and then cutting manufacturing as demand falls. So the high prices aren't exactly a surprise. Still, it looks like the AI rush risks creating a longer, persistent shortage for memory.
In the meantime, some PC builders plan on waiting in the hope retailers will offer discounts next month during Black Friday sales.