In its latest report, DigiTomize announced that Samsung has reduced its DDR4 chip manufacturing capacity in order to speed up the production of DDR5 RAMs. Also, it is said that the company will soon stop making DDR3 module chips from its production cycle forever. Stay with Lion Tech.
Samsung, which these days is focused on the development and manufacturing of chips for DDR5 RAMs, intends to significantly reduce the production of DDR3 chips and focus more of its energy on selling affordable DDR4 RAMs as well as new DDR5 modules in order to achieve a new standard for systems and devices of the future.
The gradual elimination of the production of DDR3 RAM chips by Samsung
Also, the IT Home website also pointed out in its report that DDR3 RAM chip manufacturers are still following the order retention process. With the implementation of pricing changes in the DRAM market, analysts expect the price of these RAMs to decrease over the next few months.
Currently, the price of DDR4 RAMs has decreased by nearly 8% since last month, and according to predictions, this trend will reach 15% by the end of this quarter. In addition, Samsung and SK Hynix are said to have increased their DDR5 memory production capacity by phasing out their DDR3 RAM.
This profitable strategy of the Korean giant, of course, hurts some manufacturers and brands to some extent; For example, in June 2015 we saw Samsung reduce its DDR4 modules to increase market share, and as a result, several RAM module manufacturers felt the negative impact of this move. In fact, by buying these chips directly from Samsung, OEMs were cutting other vendors out of the loop, causing problems.
Of course, Samsung’s price reduction of modules when DDR3 RAMs were introduced made their market share bigger and more profitable for the company.