Memory vendors to offload entry-level DDR5 chip inventory

According to industry sources, memory chip vendors have started dropping prices on entry-level DDR5 chips. At channel distributors, consumer DDR5 module prices are also below the level offered by memory module houses.

Entry-level DDR5 prices are poised to drop sharply in the second half of 2022, sources indicate.

DDR5 chips used to cost 200% more than DDR4 chips, but the price gap has narrowed to about 100%, according to sources. Also, in the retail market, DDR5 memory sales are mostly a loss business, the sources point out.

According to sources, DDR5 contract prices fell by around 20% in July alone, while DDR4 prices fell by 10-15%. On the physical market, prices for his mainstream DDR4 chips have dropped to around US$2, while DDR5 chips have recently dropped to US$5.

According to sources, the drop in DDR5 prices is expected to boost DDR5 penetration, and the adoption of memory in terminal devices is expected to accelerate even further in 2023, when chip prices hit their optimal price point. Memory vendors to offload entry-level DDR5 chip inventory

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