Memory demand is surging! DRAM prices expected to rise again, AI giants even snapping up 2027 production capacity.

Driven by strong demand for artificial intelligence, the global memory chip market is experiencing an unexpected surge in prices.

According to news from Chasewind Trading Desk, Goldman Sachs released a research report on the 10th stating that market intelligence firm TrendForce has once again sharply raised its forecast for DRAM price growth in Q4 2025. This adjustment covers all major applications including servers, personal computers (PCs), and smartphones, with the latest forecast surpassing Goldman Sachs' previous optimistic estimates.

The core driving force behind this round of price increases comes from data centers. The report points out that “hyperscale” cloud service providers in the United States have strong confidence in the prospects of AI, and are actively negotiating procurement volumes with memory suppliers for not only 2025 to 2026, but even as far out as 2027. These rare long-term order negotiations are increasing supply uncertainty for other application areas and greatly enhancing memory suppliers' bargaining power.

This trend is favorable for major memory manufacturers such as Samsung Electronics and SK Hynix. Given the strengthened pricing environment and long-term demand visibility, Goldman Sachs reaffirmed its “buy” rating for these two Korean tech giants in its report, considering them the main beneficiaries in this upward cycle.

Server demand surges ahead, AI customers secure future production capacity

TrendForce’s latest forecast shows that the quarter-on-quarter price increase for server DRAM in Q4 2025 is expected to reach 28-33%, far higher than the previous estimate of 15-20%.

The strong demand mainly stems from the AI server construction boom. The Goldman Sachs report cites comments from TrendForce, stating that U.S. cloud giants are negotiating supply volumes with memory suppliers out to 2027, giving memory manufacturers rare long-term business visibility. October data have already reflected this trend, with the price of DDR4 64GB server memory modules rising 28% in a single month to $300, and DDR5 64GB modules rising 24% to $338.

Because memory suppliers are prioritizing capacity allocation for more profitable server customers, PC and smartphone manufacturers are facing supply shortages.

TrendForce has raised its Q4 price growth forecast for PC DRAM from 18-23% to 25-30%. The report mentions that although PC vendors wish to increase inventory, supply allocation still remains uncertain, with only some favored partners able to lock in Q4 purchase volumes. In October, DDR5 8GB PC memory module prices rose 25% month-on-month, surpassing DDR4 prices and enjoying a 6% premium.

The low-power DRAM market for smartphones is even more strained. Its Q4 price growth forecast was sharply raised to 38-43%, far above the previous 18-25% range. Due to extremely tight supply, some suppliers have even temporarily stopped quoting prices, highlighting the strong position of sellers in the market.

Two industry giants favored by investment banks, NAND market rises in tandem

Faced with a broadly strengthening market, investment institutions are increasingly optimistic about leading memory companies. The Goldman Sachs report reaffirmed its “buy” rating for Samsung Electronics and SK Hynix, and noted that current conventional DRAM price forecasts now exceed the bank’s own model.

Meanwhile, another key part of the storage market—NAND flash memory—is also showing positive momentum. TrendForce predicts the upward cycle for NAND prices will continue throughout all of 2026. The report states that solid server demand and tight supply will offset limited growth in consumer electronics demand, a view consistent with Goldman Sachs' outlook. This suggests the entire memory chip industry is entering a phase of full recovery and growth, providing investors with a clear industry indicator.

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The above highlights are from Chasewind Trading Desk.

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