Gaming PC

DDR5 Price Set to ‘Substantially’ Narrow Gap With DDR4 in Coming Months

According to a report, the price gap between DDR4 and DDR5 memory modules will soon narrow due to slowing client PC demand, falling memory prices, and increasing supply of DDR5 memory chips. DRAM eXchange.

Dynamic Random Access Memory (DRAM) prices had been trending downwards for some time due to oversupply, but they plummeted from April to June as PC makers and resellers cut back on purchases and lowered inventory levels. Many companies expected demand for client PCs to decline due to geopolitical and macroeconomic tensions.

As a result, DRAM contract prices have deteriorated, with DDR5 prices falling significantly below DDR4 prices. For example, in late July, contract prices for 8GB DDR5 modules dropped by 18.75% ($32.5 on average) compared to the previous period, while contract prices for 8GB DDR4 modules dropped by 13.19% ($25 on average). did.

(Image credit: DRAMeXchange)

The $7.50 difference in contract price for an 8GB module is still very significant as it equates to about $15 for a 16GB stick. At retail, the difference easily escalates to almost $40, which is significant. However, the price gap between DDR4 and DDR5 is reported to narrow towards the end of 2022 and early 2023. Digi TimesThis correlates with AMD’s expectations for DDR5 pricing which they announced earlier this week when they launched their Ryzen 7000 series CPUs based on the Zen 4 architecture.

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