DDR5 memory demand will increase significantly in 2023

According to the latest report,  Samsung Electronics, SK Hynix, and Micron Technology have all expanded their DDR5 chip production, aiming to accelerate the industry’s transition from DDR4 to DDR5 DRAM, memory module makers said.

The supply of DDR5 memory has been tight but has stabilized recently, the sources said, adding that suppliers have started ramping up their DDR5 chip production. However, the sources pointed out that the growth rate of DDR5 memory in gaming and industrial equipment applications is slower than expected. Because the price of DDR5 memory is high compared to DDR4.

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According to sources, Samsung Electronics, SK Hynix, and Micron Technology have all started mass production of DDR5 chips in the second half of 2021, and regard 2022 as a warm-up year for DDR5.

Moreover, demand for DDR5 memory has been stagnant due to high prices, although suppliers have expanded production, the sources pointed out. With the recent drop in DDR4 prices, downstream suppliers have been slower to transition to DDR5.

Still, chip suppliers are encouraging their partners to promote DDR5 memory, the sources said. Several memory module companies have already introduced next-generation DDR5 devices for gaming and other applications requiring high performance.

According to sources, the price of DDR5 chips is likely to drop and approach DDR4 chips around the end of 2022, allowing DDR5 penetration to increase significantly in 2023.

(via)