DigiTimes reports that spot DRAM prices are down 40% this year, with DDR3 and DDR4 taking big hits but DDR5 also dropping significantly. However, 8GB DDR5 memory modules saw the most significant results, dropping by up to 43% in 2022. This information is tabulated between February and October 2022.
DDR5 memory modules continue to decline in 2022 and 2023 to indicate broader adoption of the new memory standard
DDR5 would have seen more adoption in the PC market were it not for the higher premiums for memory. In addition to other computer components, consumers have been driven by the need to find more affordable solutions for their computers. This difficulty in the PC market has caused motherboard manufacturers to design separate motherboards with identical configurations to be able to offer support for DDR4 and DDR5 memory.
While lower prices now are excellent for consumers, it will hurt manufacturers trying to break even with the previous year’s sales figures. Currently, on Amazon, you can buy memory kits from companies like Corsair, Crucial, Kingston, and PNY for anywhere from $63 to $130 for 16GB DDR5 memory kits (8GB x 2 kits).
Next year will be great for consumers wanting to use DDR5 in more PCs, as the current level of pricing doesn’t seem to fluctuate any higher through 2023. Plus, DDR4 kits are slightly lower than their DDR5 counterparts, which means consumers will have to spend less to get their systems installed. in the future over the next few years.
There are a lot of rumors of low cost DRAM manufacturers with large amounts of excess inventory and sellers trying to maintain their inventories without overstocking them. NAND manufacturers are also seeing about twenty percent less sales during the most recent quarter on TLC NAND compared to SLC NAND, which has maintained its nominal price all year.
The greatest concern of consumers, as well as manufacturers, boils down to costs on the manufacturing side. Suppose companies cannot maintain the current level of memory to sell to consumers. In this case, they would have to slow down manufacturing, which could lead to a complete stop, interrupting the flow of memory into the available global market.
News sources: DigiTimes and Tom’s Hardware