Graphics DRAM Prices Expected to Stop Increasing Due to Falling Crypto Market

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According to a new report from TrendForce, the pricing of graphics DRAM is expected to stop increasing in the coming months due to the downturn of the cryptocurrency market.

It points to NVIDIA and AMD shifting their focus from VRAM to server DRAM due to the decreased demand for graphics cards as the GPU market returns to normal and the used market grows.

The report notes how new GPU prices have dropped by 20 to 60 percent recently and theorizes that potential buyers will be keeping a close eye on the used market, further decreasing the demand for new cards.

Contract purchases for VRAM could drop by as much as 10 percent versus the previous quarter as manufacturers switch over to the server markets. The market is expected to stabilize by 4Q21.

DRAM are expected to increase by 10-15% QoQ in 3Q21 since DRAM suppliers still prioritize the production of server DRAM over other product categories, and the vast majority of graphics DRAM supply is still cornered by major purchasers.

It should be pointed out that, given the highly volatile nature of the graphics DRAM market, it is relatively normal for graphics DRAM prices to reverse course or undergo a more drastic fluctuation compared with other mainstream DRAM products.

Source: TrendForce (via TechPowerUp)

Peter Brosdahl
As a child of the 70’s I was part of the many who became enthralled by the video arcade invasion of the 1980’s. Saving money from various odd jobs I purchased my first computer from a friend of my dad, a used Atari 400, around 1982. Eventually it would end up being a lifelong passion of upgrading and modifying equipment that, of course, led into a career in IT support.

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