Memory demand is booming! DRAM price expectations have been raised again, and AI giants are even frantically competing for 2027 production capacity

Driven by strong demand for artificial intelligence, the global memory chip market is experiencing an unexpected wave of price increases. According to news from the Chasing Wind Trading Desk, a research report released by Goldman Sachs on the 10th indicates that market intelligence company TrendForce has once again significantly raised its growth expectations for DRAM prices in the fourth quarter of 2025. This adjustment covers all major applications, including servers, personal computers (PCs), and smartphones, with the latest forecast now exceeding Goldman Sachs' previous optimistic estimates. The core driving force behind this price increase comes from data centers. The report points out that "hyperscale" cloud service providers in the United States are highly confident in the AI outlook and are actively negotiating with memory suppliers for procurement volumes that not only cover 2025 to 2026 but even extend to 2027. This rare long-term order negotiation is exacerbating supply uncertainties in other application areas and greatly enhancing the bargaining power of memory suppliers. 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 reiterated its "buy" rating for these two South Korean tech giants in the report, believing they will be the main beneficiaries of this upward cycle. Server Demand Soars, AI Clients Lock in Long-Term Capacity TrendForce's latest forecast shows that the price of server DRAM in the fourth quarter of 2025 is expected to increase by 28-33% quarter-on-quarter, far exceeding the previous expectation of 15-20%. The strong demand primarily stems from the construction boom of AI servers. The Goldman Sachs report cites TrendForce's comments that negotiations between U.S. cloud giants and memory suppliers have extended to supply volumes for 2027, providing memory manufacturers with rare long-term business visibility. Data from October already reflects this trend, with the price of DDR4 64GB server memory modules rising 28% month-on-month to $300, and the price of DDR5 64GB modules also increasing by 24% to $338. As memory suppliers prioritize capacity allocation to more profitable server clients, PC and smartphone manufacturers are facing supply tightness. TrendForce has therefore raised its price growth expectation for PC DRAM in the fourth quarter from 18-23% to 25-30%. The report mentions that although PC manufacturers hope to increase inventory, there is still uncertainty in supply allocation, with only some cooperative clients able to finalize procurement volumes for the fourth quarter. In October, the price of DDR5 8GB PC memory modules increased by 25% month-on-month, surpassing DDR4 and enjoying a 6% premium. The low-power DRAM market for smartphones is even tighter. Its price increase expectation for the fourth quarter has been significantly raised to 38-43%, far above the previous range of 18-25%. Due to extreme supply tightness, some suppliers have even temporarily stopped quoting, highlighting the strong position of the seller's market. Two Giants Favored by Investment Banks, NAND Market Also on the Rise In the face of a strengthening market trend, investment institutions are increasingly optimistic about leading memory companies. Goldman Sachs' report reiterated its "buy" rating for Samsung Electronics and SK Hynix, noting that the current conventional DRAM price forecasts are already higher than the bank's own models At the same time, another key part of the storage market—NAND flash memory—also shows a positive trend. TrendForce expects the price upcycle of NAND to continue throughout 2026. The report states that solid server demand and tight supply will offset the limited demand growth from consumer electronics, a view that aligns with Goldman Sachs' perspective. This indicates that the entire storage chip industry is entering a comprehensive recovery and growth phase, providing investors with a clear industry barometer