Why is DDR5 Memory’s Price so Expensive?

What is RAM?

RAM is a short abbreviation of random-access memory. This is short-term access where the computer is able to store the memory of the data for a period of time. Consider this place as a time-gated basket. Throughout the entirety of the computer revolution, RAM has evolved from kilobyte DDR to DDR5 memory that boosts up to 64 gigabytes per chip. But this is just a short intro, our question is about the high range of DDR5 memory’s price.

What is DDR5 RAM?

DDR5 memory’s price is so high will mean nothing to you if you don’t know what it is. With the introduction of the alder Lake CPUs from Intel, the world is finally ready for the next iteration of RAM modules. This is a big step really, DDR5 can have four times the memory capacity, two times the bandwidth, and less power consumption than the DDR4 technology. DDR5 RAM sticks can go as far as 64 gigabits per stick, and a total of one terabyte of memory, unlike the 128-memory limit on DDR4.

DDR5 Ram

Why are the prices so steep?

Due to the pandemic, the world is facing a global chip shortage and most OEMs are focusing on both the desktop and mobile markets. Not to forget, the automobile industry, as well as the home appliance, are in the action as well

In the PC market, most users are buying these at a higher MSRP because of the low penetration rate. This is because all these people are early adopters which means that the variation of motherboard and processors is very little. So, the fluctuation of price is little.

It should also be noted that the DDR5 memory’s price is high due to its low demand. Very few manufacturers really recommend the use of DDR5, AMD still hasn’t released their Zen4 processors to utilize DDR5 and many users are still rocking the DDR4 memory. On top of this, GPU manufacturers are transitioning to 16 GB memory as opposed to 8 GB which further strains the chip supply.

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