Memory prices are set to decline, and China is responsible for this change.
AI has dominated the memory market, and China may soon reclaim its share.
If you've noticed the steep prices of RAM lately, you're not alone. The cost of memory has skyrocketed due to AI consuming a significant portion of the global memory supply chain.
Manufacturers like Samsung, SK Hynix, and Micron have redirected most of their production to high-bandwidth memory (HBM), which is essential for the AI chips currently in high demand. This shift has drastically reduced the availability of standard PC memory, causing prices to rise sharply.
However, it appears that memory prices are expected to decrease next year, largely due to companies incorporating Chinese memory into their products. As reported by Wccftech, Kye-hyun Kyung, a former Samsung chip and display division leader, anticipates relief may arrive in the latter half of next year.
During a recent engineering forum in Korea, he stated that Chinese companies are vigorously expanding their memory production capabilities, and if these investments succeed, the increase in supply could lead to lower prices.
Will memory costs actually decline?
Chinese producer ChangXin Memory Technologies (CXMT) is already making significant progress. The firm provides DDR5 speeds up to 8000 MT/s and is rapidly increasing its output. Other Chinese companies, like Jiahe Jinwei, are also enhancing production of memory for data centers.
We are starting to see businesses transition to memory chips produced in China. Corsair, a well-known name in PC components, is among the first to make this change.
Leaked images indicate that Corsair's Vengeance DDR5 modules utilize DRAM from CXMT. These modules feature standard specifications, operating at 6000 MT/s with CL36 timings, comparable to similar kits from Samsung and SK Hynix.
If there's any nation with the manufacturing capability to boost production to satisfy the rising memory demand, it is China. Should the country capitalize on this trend and saturate the market with its memory chips, prices may finally decrease within the upcoming year.
What does this mean for you?
If you're considering building a PC but hesitating due to high prices, there’s hope on the horizon. Chinese memory is already reaching well-known global brands, and an increase in supply typically leads to better pricing. However, don't expect immediate changes; you might have to wait until the latter half of 2027 for prices to start falling.
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Memory prices are set to decline, and China is responsible for this change.
Due to the demand from AI, memory prices have skyrocketed; however, a former Samsung executive believes that production from China could lower them again by late next year.