Escalating Costs in the Memory Market
The situation regarding system memory and storage costs continues to deteriorate, providing further evidence that the global memory crisis is reaching critical levels. Recent data from the German retail sector highlights a concerning upward trajectory in pricing for both DDR5 RAM and solid-state drives (SSDs).
According to figures analyzed by 3D Center, the cost of DDR5 memory has seen a dramatic surge. As of mid-August, prices hit 486% of the baseline cost recorded in July 2025. This reflects a rapid acceleration: prices jumped 16% in August alone compared to mid-June, indicating that memory is now roughly five times more expensive than it was just a year ago.
Storage Woes: Why Relief is Further Away
Internal SSD prices are following a similarly grim path, rising 7.7% month-over-month in the German market. Currently, these drives cost more than double what they did before the supply constraints began. However, the most alarming development concerns the long-term outlook for NAND flash memory production.
Pua Khein-Seng, CEO of SSD controller manufacturer Phison, recently shared insights following discussions with senior executives from a major NAND production firm. When asked about the timeline required for new investments to translate into actual mass production, the response was starkly pessimistic. As noted by the Commercial Times, expectations for the turnaround have doubled:
“He originally estimated it would take about two years, but the answer they gave was 'four years.'"
The Road to 2030
This adjustment in production timelines shifts the industry’s forecast for supply normalization. Instead of a projected recovery by 2028, it is now anticipated that supply difficulties for NAND flash will persist until at least 2030. This projection aligns with broader industry warnings that the remainder of 2026 and the year 2027 will likely see market conditions worsen rather than stabilize.
The German retail market serves as a bellwether for global trends. While DDR5 prices had shown signs of plateauing earlier in 2026, the sharp reversal seen in recent months confirms that the volatility is far from over. As 3D Center aptly summarized the outlook:
«The bigger picture now points to a worrying price trend, which is likely to break exorbitant levels very soon, unless this trend is halted – for which there are currently no indications.»
While consumers might attempt to delay personal PC upgrades in response to these costs, the steady demand for new laptops and desktops ensures that the impact of these price hikes will remain a significant challenge for the entire technology sector.