It is possible that you are reading us from a computer with DDR3 RAM. It’s not uncommon, it’s almost common. Right now the number of users using DDR3 is higher than the new DDR5 standard. Specifically, we are talking about millions of computers around the world.
And in that world of chips, memories and computers, there is a company that shines with its own light: Samsung. The Korean company is the largest producer of RAM in the world and it has just been leaked that there will be no room for more DDR3 modules in their foundries.
This movement comes so that Samsung can lower the price of DDR4 memory, thus accelerating the production of DDR5 memories (the newest and most powerful). For all this, it is time to eliminate DDR3 from the equation and release machinery.
The company hopes to not only remove excess stock of old DDR3 memory from its factories, but also to change the focus of the industry towards the new DDR5 memory to make it the standard for all systems and devices.
IT Home reports that DDR3 vendors are following the same trend”to keep orders“. With market changes in consumer DRAM prices, analysts expect prices to decline in the coming months.
The prices of 4 GB DDR4 memories have decreased since last month by 8%, which is not very relevant but it is a sign of the trend. Analysts expect consumer DRAM prices to decline 15% by the end of the current quarter.
It has also been reported that Samsung and SK Hynix have increased production of DDR5 memory during attempts by both companies to phase out their DDR3 stocks.
The concern at the moment is that DRAM memory growth will be limited throughout the market with the current strategy and the situation of crisis and global inflation.
This aggressive pricing strategy is not new, nor is it the first time that Samsung has bet on it to change prices in the industry.. As of June 2015, the company had downgraded DDR4 modules to increase its market share.
The effect of the market was that several module suppliers took a loss, as equipment manufacturers began to buy chips directly from Samsung, removing suppliers from the equation.
Even so, Samsung’s price cut on its memory modules, at the time DDR3, did lead to faster adoption of new memory available and was considered more profitable for the company.