Samsung hikes memory chip prices 60% as shortage worsens — AI data center build out chokes supply

[Daniel Nenni]

Samsung Electronics has increased the contract prices for certain memory chips by as much as 60% since September, according to industry sources.

The price for a 32 GB DDR5 module reportedly jumped from about $149 to $239, while 16 GB modules rose around 50% and 128 GB modules approached $1,194.

This dramatic increase is driven by acute shortages in memory supply, fueled largely by massive demand from AI-data-centres and server infrastructure. Tom's Hardware+1

For Samsung, this gives significant pricing power—analysts say its comparatively slower shift into ultra-high-end AI memory chips means it still has strong exposure in commodity memory markets, which are currently tight.

However, the ripple effects are broad: higher memory costs are beginning to squeeze manufacturers of servers, PCs and smartphones, who may pass on the cost to consumers or face margin pressure.

In short, Samsung’s hike reflects a broader market tightening: supply is constrained, demand is surging (especially from AI/servers), and customers are beginning to pay steep premiums for memory modules that were far cheaper just months ago.

https://www.techinasia.com/news/samsung-hikes-memory-chip-prices-shortage-worsens-sources

 

[blueone]

It has been a good time to own Micron stock, a much more memory pure play than Samsung. I've sometimes thought Micron was lost in their own house, but even Micron can figure out how to make money when what they make is in short supply with high demand.

 

[KevinK]

SMIC predicting a knock-on effect on logic business for them in Q1.

SMIC says worries over memory shortage prompt customers to hold back Q1 orders

Semiconductor Manufacturing International Corp 0981.HK, China's largest contract chipmaker, on Friday said growing worries about a shortage of memory chips are prompting its customers to hold back their orders for other types of semiconductors.

www.reuters.com