DRAM price decline predicted for early 2025 across PC, server, and GPU markets
The big picture: A combination of buyer strategies and market conditions are expected to drive DRAM prices down across the board in the first quarter of 2025. As outlined in TrendForce’s latest market report, PC OEMs accelerated inventory reduction efforts in Q4 2024. The strategy is expected to persist into the first quarter of next year, further suppressing bit procurement volumes.
DDR4 price declines, in particular, are expected to accelerate due in part to sluggish consumer demand, increased production from Chinese suppliers, and low-priced chips flooding the market. As a result, PC DRAM prices are expected to drop by eight to 13 percent.
Server DRAM pricing – both DDR4 and DDR5 – is expected to weaken in part because of slow seasonal demand. Manufacturers have also started shifting DDR4 capacity to DDR5 production, while others are moving HBM production to focus on DDR5. As a result, server DRAM prices as a whole could fall by five to 10 percent in Q1 as DDR4 price declines accelerate.
Memory for mobile solutions and graphics products will also be impacted. Smartphone manufacturers have spent the past two quarters adjusting DRAM stockpiles, which will allow them to maintain a passive procurement strategy in Q1 2025 in hopes of attaining more favorable contract pricing. As such, TrendForce expects contract pricing for LPDDR4X and LPDDR5X to fall by eight to 13 percent and three to eight percent, respectively, in Q1 2025.
GDDR7 stockpiling for next-gen GPUs will help graphics DRAM pricing but even still, broader DRAM market weakness and heightened inventories will impact the market. TrendForce expects to see graphics DRAM market prices decline by an average of five to 10 percent in Q1.
Related reading: Cheap vs. Premium DDR5: Stock vs. EXPO/XMP Memory
For the average consumer looking to pick up a new kit of DDR4 or DDR5 memory for a new build or an existing rig, now is a great time to do so. Prices are low and with post-holiday sales, you can save even more. This 32GB kit of G.Skill DDR4, for example, is under $50 over on Newegg.
