Samsung Electronics' DDR5 DRAM (Courtesy of Samsung) Memory chip prices are poised for a significant jump in the first quarter of 2024, with mobile DRAM spearheading the increase, according to research from Taiwanese firm TrendForce on Monday.
After climbing 13~18% in the fourth quarter of 2023, average selling prices (ASPs) for DRAM are expected to rise by another 13~18% in the coming months.
Mobile DRAM, used in smartphones and other devices, will see the sharpest spike, potentially reaching 18~23%, while PC, server, and graphics DRAM are anticipated to climb 10~15%, and consumer DRAM 8~15%.
TrendForce attributes the mobile surge to historically low contract prices, which have motivated buyers to stock up, maintaining robust demand even as prices head upward.
This marks a shift from the recent downtrend in DRAM prices. Since the second half of 2023, however, a combination of production cuts by chip giants like Samsung Electronics Co. and SK Hynix Inc., coupled with the gradual depletion of excess inventory, has fueled a price rebound.