In 2026, the global memory market is grappling with a severe shortage crisis. The prices of DDR4 16Gb particles have skyrocketed, multiplying by 12 times within just half a year. The DRAM and HBM production capacities of the three memory behemoths—Samsung, SK Hynix, and Micron—are fully booked for the entire year of 2026. This has created a dilemma for consumer electronics like smartphones and computers, which now either have to reduce their configurations without slashing prices or face price hikes and supply shortages.

The root cause of this crisis lies in the squeeze on memory production capacity exerted by the burgeoning demand for AI computing power. AI servers have a memory demand that is over eight times that of conventional servers. Moreover, the wafer area required for HBM chip production is more than three times that of standard DRAM. To compound the issue, supply chain speculation has further fueled market volatility. It is estimated that around 40% of the price increases are due to genuine shortages, while a staggering 60% can be attributed to artificially created scarcity bubbles.

Although memory giants have announced plans to expand production, the construction cycle for new factories spans over six years. Consequently, shortages are expected to persist until the end of 2027, with only a gradual easing of the situation anticipated by 2028.