Critini Analyst: Storage Market Resilient to Major Downturn, HBM Demand to Absorb DDR Capacity

BlockBeats News, June 25th, Critini Research analyst Jukan stated that assuming future DDR memory supply increases, DDR prices will face downward pressure. Therefore, manufacturers can hedge against this by redirecting some DDR production capacity to HBM (High Bandwidth Memory) production, thus avoiding a significant price crash in the entire memory market.

In other words, even if DDR5 prices eventually "return to normal," dropping back to previous levels—although it is believed that current DDR prices have likely become the new normal—this does not mean that the entire memory chip market will collapse. This is because the significant demand brought by HBM will continue to absorb the capacity originally used to produce commodity DRAM, thereby providing downward support for memory prices.