The memory market is experiencing an intensifying price surge. Following Micron's move last week to halt quotations and announce comprehensive price increases, Samsung quickly followed suit, declaring that Q4 DRAM contract prices will rise by 15%–30%, with premium models like LPDDR5/5X seeing hikes of up to 30%. NAND flash prices are also set to increase by 5%–10%. Industry experts predict these consecutive hikes by the two giants will trigger downstream customers to stock up, further fueling the price rally.
This round of price increases stems from persistent supply-demand tension. In the first half of the year, leading suppliers like Samsung and Micron significantly cut DDR4 supply to prioritize HBM production, with some products even reaching end-of-life. Meanwhile, demand for DDR5 has surged due to industrial and automotive customers accelerating their transition, coupled with booming AI server needs. Approaching peak seasons like Singles' Day and Christmas has further widened the supply gap.
Micron fired the first shot by suspending quotes and projecting an average DRAM price increase of 20%–30%, with automotive product prices soaring up to 70%. Samsung’s subsequent adjustment underscores leading suppliers’ pricing power. Sources indicate that to accelerate DDR5 adoption, manufacturers are intentionally raising its price when it nears DDR4 levels. Although NAND increases are milder, they confirm the memory market has entered a full bull cycle.
With downstream customer inventories now at healthy levels, early stocking is inevitable amid continued price rise expectations. Analysts project this price increase trend will last until year-end and potentially into the first half of next year.
The price hike wave is expected to benefit the entire supply chain. Taiwanese companies like Nanya Technology and Winbond are poised to gain directly, while module suppliers like Adata, Team Group, and Transcend will also expand profit margins.
ICgoodFind : The supply-demand mismatch in the memory market is unlikely to ease soon, with the current price cycle supporting sustained performance improvement across theIndustry chain.
