DRAM supply to increase by 22.5% in 2018 – Possible reduction in DDR4 prices?

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The Chinese NDRC are actively keeping an eye on this DDR4 price surge to make sure no price fixing is happening

If like me, you have had your heart set on a PC upgrade this year, you will no doubt be extremely frustrated at the price of DDR4. Corsair Vengeance LPX 16 GB (2×8 GB) cost just £45 in June 2016, it now sells for more than 3 times that at £162.48. Thankfully some excellent deals on AMD Ryzen have allowed me to offset this cost somewhat, and I managed to grab an R5 1600 for an absolute bargain £136 from Amazon.

However, it has generally been reported that the issue with DRAM has been due to massively increased demand, not only has all the desktop and laptop chips switched over to DDR4 but all modern phones used SoCs that use DDR4. Many people also claim that the big three companies have agreed to limit supply in order to drive up prices, obviously, we will never know if this is true or not. Many people have suggested that supply will continue to fall short through 2018, and Q2 2019 is where production levels will start to increase, which would mean prices continue to rise throughout 2018 and probably through to Q3+ 2019.

Thankfully, we have some good news though. It has been revealed that DRAMexchance, a Taiwan-based firm that tracks memory pricing, has increased their DRAM supply growth predictions for 2018, listing an expected 22.5% growth in DRAM supply for the year. This increase is in part due to Samsung's reveal that they would be allocating more of their manufacturing capacity to create DRAM, a move that is expected to force Micron and SK Hynix to do the same to maintain their respective market shares.

Samsung's announced ramp-up in DRAM manufacturing is also expected to be down to the recent development of DRAM and NAND makers in China, with Samsung attempting to combat their potential growth within the market.

Whether or not prices will actually go down is yet to be seen, but hopefully, the increased supply will at least stem the growth of prices throughout 2018.

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