Semiconductor memory prices are expected to begin rising significantly in the fourth quarter of this year, potentially accelerating performance growth.
Kim Dong-won, head of research at KB Securities, stated in a report on October 2 that "the price of general-purpose DRAM is projected to increase by 10-15% compared to the previous quarter, while NAND prices are expected to rise by 15-20%, continuing a double-digit growth trend that exceeds market expectations." He added, "As memory prices rise at a double-digit rate, we will enter an acceleration phase of the upward cycle."
Kim anticipates sustained strong demand, particularly for server DRAM and enterprise solid-state drives (SSDs), noting that "the rapid expansion of AI inference demand will lead to an over 80% increase in SSD bit demand compared to the previous year."
He also mentioned that Micron has announced significant price increases for high-bandwidth memory (HBM) supply next year. He explained that while HBM typically involves long-term fixed-price contracts renewed annually, the recent sharp price increases in general-purpose DRAM have not been fully reflected until now. However, starting with next year's contracts, the higher memory prices and tight supply conditions are expected to be fully incorporated into HBM pricing.
Looking ahead, Kim noted, "If HBM and general-purpose memory led growth in 2025 and 2026, respectively, we expect a comprehensive growth phase in 2027, with simultaneous price increases and shipment growth for both HBM and general-purpose memory. The advancement of high-performance frontier models and the popularization of efficient models will coincide, leading to a structural surge in overall AI computing volume and token consumption due to lower token costs and increased usage."
Kim identified Samsung Electronics and SK Hynix as top picks, stating, "The memory market in 2027 is expected to enter a strong upward cycle characterized by simultaneous price increases and shipment growth."
* This article has been translated by AI.
Copyright ⓒ Aju Press All rights reserved.