As the three major suppliers phase out mature process nodes, DDR4 supply is set to tighten notably, pushing up consumer DRAM contract prices. In the spot market, weak demand and typhoon disruptions have limited buyers' willingness to chase prices. Supported by AI demand, suppliers maintain low inventory and strong bargaining power, while PC OEMs and module houses, facing elevated inventory, have turned cautious. Smartphone brands have stopped expanding inventory, and CSP demand is diverging.

Key Highlights

• Contract Market: Suppliers continue to phase out DDR4, consumer DRAM contract prices are rising moderately this quarter.
• Spot Market: Specific orders drove small-volume transactions, and some chip prices edged up. However, weak demand and typhoon disruptions kept the upward momentum from continuing.
• Suppliers: AI demand and additional orders from US CSPs keep inventory extremely low, sustaining strong bargaining power.
• PC OEMs: Shrinking shipments have pushed inventory higher, and have cut next year’s purchase volumes.
• Module Houses: Downgraded chip inventory is piling up, so purchases are being scaled back. Module houses still actively procure original-grade chips from suppliers for server modules.
• CSPs & Server OEMs: Some CSPs face cash flow constraints. High-capacity modules are being redirected to and absorbed by other CSPs and OEMs.
• Smartphone Brands: Inventory is elevated after aggressive stockpiling in the first half, and procurement has turned cautious.

Table of Contents

1. Market Update
2. TrendForce’s View
   • Inventory Levels of DRAM Suppliers and Clients in Major Application Segments

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