RAM memory has risen in price in recent times, especially if we look at last year. The “excuses” for various topics have ended and the crisis that is approaching shortly at the global level is already being reflected in the financial balances and in the markets. One of them, that of RAM memory , is going to suffer a beautiful drop , since it seems that manufacturers are going to have to lower the price if they want to sell their chips.
The price of DDR4 memory is stabilizing, it was down at the end of the year from mid-2021 when it was supposed to go up and now stability seems to be its strongest source of sustenance. But that will not last long, since a crisis of the manufacturers arrives for crazy reasons that make us think, is it that nobody saw it?
Crash and crisis in RAM memory, price and stock perspectives
There is a very serious problem with the RAM market and it is nothing more than an imbalance between the costs and the prices that have to be set. Everything revolves around what was paid for the materials and chips like the DDR5 PMICs versus what they have to fix after the reports, but… What do those reports say?
Well, something worrying for manufacturers and assemblers: the demand of the memory market will decrease a lot, both in PCs and in mobile phones and laptops. This is not a future event, it is just the verification of the financial data of companies such as ADATA , which fell no less than 22.79% , or TEAM GROUP Technology , which plummeted 18.47% .
Therefore, the reports only show that the trend is downward, very low, and what months ago was paid at the price of gold as an investment to manufacture chips and modules, is now a deficit because the price is going to fall .
The coming price war
With DDR5 we see how prices are falling drastically because they are not being sold. And we know this because we have dealt with the sales of processors and motherboards not long ago and the trend was downward and will continue to be, with only the time lapse of the Core 13 and Zen 4 , where after its launch the market will fall again
Therefore, manufacturers are finding themselves immersed in a war where the price is going to be decisive and downwards if they want to sell a minimum, which, as we say, is already being felt incredibly in DDR5.
Even Micron, the world’s third largest manufacturer, is already lowering prices because Wall Street lowered its stock rating for not being consistent with current market conditions, so shareholders would lose money if they continued like this. Shares fell 6% and were it not for the price cut announcement, the blow could have been much greater.
In short, RAM memory has entered a spiral of falling prices that will cause all manufacturers and assemblers to lose money, the stock of chips and modules is up because many more sales were expected with the release of the new CPUs and, in change, the market has changed course and no one saw it coming in advance. Price war, losses and users who will not buy because financially everything is very complicated… The perfect storm.
