Micron chief warns of price hikes as 'severe' DRAM shortages worsen

midian182

Posts: 6,794   +61
Staff member
In a nutshell: As PC gamers, we know current sad state of the graphics card market, but DRAM memory makers are having problems, too. Micron's CEO has warned that a "severe shortage" of supply will worsen throughout the year, with prices rising as a result.

As reported by The Register, Micron chief Sanjay Mehrotra told investors during an earnings conference call: "As a result of the strong demand and limited supply, the DRAM market is currently facing a severe undersupply, which is causing DRAM prices to increase rapidly. We see the DRAM market tightening further through the year."

As online life becomes the norm, demand from data center, cloud, and PC customers is going through the roof, and Micron is struggling to fill all the orders.

"[Our inventory is] pretty lean at this point. I mean all the inventory that you're seeing is either WIP or raw materials. There is a bit of finished goods, but it's [not] just the amount of finished goods we need to stage to meet the customer demand," Zisner added.

DRAM manufacturers revenue share worldwide. Credit: statista

Exacerbating an already difficult situation is Taiwan's worst drought in 56 years. The country previously said its semiconductor industry had enough water to last until May, but it recently introduced further water restrictions, including at two industrial parks. While Micron's production has not yet been affected, the company has had to obtain water from different sources—it's already bringing water in via tracks—and increase conservation efforts. Mehrotra calls this a "developing situation," suggesting things could get worse before they get better.

With graphics cards, memory, and pretty much every other piece of hardware in short supply and more expensive than usual, it really is the worst time to build a PC. You could always buy a pre-built model, but even some of those are shipping without GPUs.

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kimo1

Posts: 227   +415
NWO encroaching much faster than people realize. In 2022 consumerism as we knew it won't exist anymore and only the elites will be able to readily acquire all the 'toys' they desire.
Hardware is intentionally built to fail. Once your current toys fail, you wont be able afford a new one. "operation lockstep" or whatever it's called, prohibits people from socializing irl and forces to stay indoors. You run out of indoor activities fast. Your toys dead and you can't even afford cheapest of drugs for escapism. You finally start realizing how many problems you have left unsolved this far. The problems flood your brain, you become rapidly mentally unstable. You eventually commit suicide. One important part of "operation lockstep".
Unless... On your birth you got gifted with at least an average brain, capable of recognizing long term evil, and you were prepared long ago and removed yourself from the system before it could end you.
At the start of this year, oligarchs, the very same "elites", did warn: **** will hit the fan, and you have to show your great power of will to survive.
The End.
 

antiproduct

Posts: 182   +225
Meanwhile, my (eeeeewwwww) i5-3770 and (eeeeeewwwwwwww) GTX 970 will have another year of existence in my home.

So I guess it will be Ryzen 6000, RDN3 and DDR5.

Same here, my i5-3570K and GTX 980 are still holding in there somehow. Wanted the Ryzen R9 5900X, but after trying for months to get it, I just gave up and figured I'd wait for the 6000 series and DDR5 since they're only another year away. Crossing my fingers that they'll have all the manufacturing problems figured out by then.
 

Reehahs

Posts: 1,198   +828
At this point, I am glad that I was able to grab a Series X.

Meanwhile, my (eeeeewwwww) i5-3570 and (eeeeeewwwwwwww) GTX 970 will have another year of existence in my home.

So I guess it will be Ryzen 6000, RDN3 and DDR5.
Same here, my i5-3570K and GTX 980 are still holding in there somehow. Wanted the Ryzen R9 5900X, but after trying for months to get it, I just gave up and figured I'd wait for the 6000 series and DDR5 since they're only another year away. Crossing my fingers that they'll have all the manufacturing problems figured out by then.

After speaking to another TechSpot user I have finally taken the plunge and upgraded from 3570K + GTX980 SLI. Had to settle for 3xxx+RTX2xxx as scalpers are going to town with prices on current gen hardware.
 

Shadowboxer

Posts: 1,506   +1,091
I’ve used this article as an excuse to double the memory on my 5800X to 32GB. Ive ordered a 2x8GB 3600 Adata Spectrix kit for £70. Let’s see if that was a good idea.
 

Ben1978

Posts: 114   +84
You know Taiwan is probably the most successful country for controlling Covid 19 - of a significant population with NO national lockdowns
Any small island can do this with some decent border controls. Look at New Zealand. It becomes much harder when travel is allowed to continue and weak quarantine and testing procedures are in place which has allowed the virus to get a footing in much larger populations like the US, where many people refused to follow guidelines like mask wearing in enclosed spaces and social distancing. Though even
when the virus spreads widely in a large population China has shown that with sufficiently invasive measures it can be eradicated. The one approach that shouldn't be followed with this virus is natural herd immunity because overloaded health systems and COVID and other deaths from untreated cancer etc have followed in almost every country where that has been tried on purpose or by default, and long covid has also proven itself a particularly nasty disease for those who have recovered.
 

Watzupken

Posts: 205   +182
Looking to see how long this "severe shortage" of RAM will last. With insufficient CPUs and SOCs reported, I don't particularly think that shortages will last long in the RAM space. So while they want to follow the trend of increasing their prices, it will just dampen people/ companies demand for new hardware.
 

Gregtombstone

Posts: 16   +12
Built a new pc last august. 3700x on a x570 strix .3600 ram and a 1gb sabrent rocket nvme. Was holding out on upgrading graphics to this year. All the components now cost more and my 3 year old strix rx480 8gb is apparently worth 350 euro 2nd hand. This is bonkers. The only light at the end of the tunnel is that production will ramp up with a glut following in 2022 hopefully. Have to say the rx480 aged well and is stomping games at max q on 1080p. A word of warning to overclockers, keep thing low for the time being, if you burn something out you are not going to get a replacement anytime soon for a reasonable cost.
 

poohbear

Posts: 630   +548
When the pandemic is over and working from home is no longer a way of life for many in the developed world, then we'll see a reprieve in all this insane demand. Hopefully fall 2021.
 

poohbear

Posts: 630   +548
You know Taiwan is probably the most successful country for controlling Covid 19 - of a significant population with NO national lockdowns
Yup. But they completely shut their borders. Other countries, especially immigrant heavy countries, didn't. I still remember meeting Italian tourists here in downtown Toronto...I was like how did u get here?! We just flew in after doing a test. Like WTF Canada?!