Shortly after the start of sales of the 12th generation Intel Core processors in November last year, it became clear that the supply of DDR5 RAM could not meet the emerging demand. The shortage led to a sharp increase in the cost of new RAM modules. The situation was expected to get worse with the release of cheaper chip models from Alder Lake. In reality, however, the situation is improving with the availability of DDR5 modules, while prices are falling.
Due to the lack of some power management system components (PMICs) built directly into the DDR5 memory module itself, the price of a 32GB DDR5 kit reached $1300 by the end of the year. Today such kits are offered 69% cheaper. portal Tom’s hardware conducted a comparative analysis of the prices of dual-channel RAM modules of the DDR5-4800, DDR5-5200, DDR5-5600 and DDR5-6000 standards, based on data from the monitoring site Camelcamelcamel, which monitors the Amazon marketplace.
The publication notes that most of the DDR5 RAM kits featured on the platform are still sold by third-party vendors and not by the trading platform itself. This may indicate an ongoing shortage of this product.
While Amazon itself typically tries to sell products at prices close to recommended prices, the prices set by third-party sellers vary depending on the amount of supply available and the demand for the product. The graphs below show that as the supply of DDR5 modules increased, their cost began to decrease.
Compared to December, January kit prices have dropped by 26-80%. For example, if the flagship G.Skill Trident Z DDR5-6000 CL36 memory kit could not be found for less than $4,000 by the end of last year, then its cost dropped to $800 in January. And the base Corsair Vengeance DDR5-4800 CL10 memory kit has dropped in price from $1300 to $410.
With the release of mass models of 12th generation Core processors, which also support the DDR5 standard, memory manufacturers – Micron, Samsung and SK hynix – began to increase the production of DDR5 chips. It is not yet clear whether manufacturers of components for PMIC and VRM memory modules can keep up with the growing range of RAM modules. However, with demand for these components predictably high, companies like Renesas must also look to ramp up production.