The memory shortage has arrived, and it’s going to get worse
DDR5 memory prices reach crazy new highs due to DRAM shortages
DRAM pricing is soaring, and we all know what to blame. AI! The spike in AI infrastructure spending has led to a squeeze in DRAM supply, to the extent that Samsung has reportedly stopped giving customers contract prices for its DDR5 DRAM. These contracts would guarantee stable DRAM pricing for a set timeframe. In other words, prices are rising rapidly, and Samsung doesn’t want to lose money by giving customers fixed prices. We are officially experiencing a DDR5 memory shortage, and this shortage is unlikely to end anytime soon.
Spot prices for DDR5 DRAM have risen sharply throughout 2025. This represents a significant shift for the memory industry, as DDR5 memory pricing was on the decline at the start of the year. While AI is the largest contributing factor to the latest increases in DRAM demand, Microsoft’s decision to end Windows 10 support has also increased DRAM demand by inducing a wave of PC upgrades.
DDR5 prices are surging
Over the past few weeks, DDR5 memory prices have been creeping up. This is bad news for PC builders, as these price hikes are making PCs more expensive. Based on a recent review of current DRAM prices, it appears that high-capacity DDR5 memory modules are the most severely affected. This makes sense, as high-capacity DRAM chips will be in the highest demand within the enterprise/AI markets.
Below, we have seen a 64GB kit of DDR5 DRAM increase in price from around £190 earlier this year to over £290. This year, this DRAM kit was on sale (briefly) for under £150. Today’s pricing is more than double that!
Prices for lower-capacity DDR5 memory kits are more stable. However, that simply means that prices are rising at a slower pace. If you are in the market for more DRAM, it is recommended to buy a kit now, as DRAM pricing isn’t expected to lower anytime soon.
(Amazon UK DDR5 Memory Price changes – via CamelCamel)
How long will the DDR5 shortage last?
Today’s memory shortage isn’t expected to end anytime soon. We have heard today’s shortage called the worst to date and that things could be bad throughout 2026 (not just the remainder of 2025). That’s bad news for the consumer PC market, as we will have to contend with increased pricing due to the intense hardware demands of the AI market. Unless demand for AI hardware and its supporting infrastructure suddenly decreases, the consumer DRAM market will be in for a tough time.
This shortage is worse than prior memory shortages. Demand for AI infrastructure is at unprecedented levels, and all of those servers need DRAM. This is worse than what cryptocurrencies and other memory-heavy markets have done to DRAM pricing over the past decade. Given how long-term the plans are for AI infrastructure buildouts, we do not expect DRAM pricing to fall anytime soon.
You can join the discussion on rising DRAM prices on the OC3D Forums.
