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- The computer industry is going through a huge crisis due to the DRAM shortage.
- CXMT from China has jumped into the scene with its DDR5 memory and massive production lines.
- The newest player has the potential to appease the market and bring it back to normal.
The PC component industry is going through a state of crisis right now. Due to the recent AI boom, there has been a global DRAM shortage. The demand is at its peak, and the supply isn’t able to catch up with that.
RAM manufacturers are booked with orders from AI companies throughout 2026 and beyond, leaving no room for consumers. As a result, the limited supply has driven memory prices to levels never seen before.
The situation has become so bad that even a discounted 64 GB DDR5 RAM kit now sells for more than the PS5. Recent analysis has revealed that DDR5 prices have soared by over 123% this year, and another 45% increase is expected for 2026.
However, for gamers worried about high RAM prices, a ray of light has emerged: China’s CXMT is now producing DDR5 and LPDDR5X memory, which will ease the DRAM shortage and provide some relief to supply.
Why it matters: CXMT has massive production lines that could even meet the global demand and supply. It can target millions of wafers a month, which could lead to a good supply and consequently lower prices.
Meeting The Global Demand and Supply
At the 22nd China International Semiconductor Expo, CXMT debuted its product line comprising DDR5 and LPDDR5X memory. The lineup consists of everything from UDIMM to SODIMM and every required memory type.
Its DDR5 memory sticks will also be the best in class, offering speeds of 8000 MHz with a 24GB die density, which is in line with or even better than the competition in certain cases. The best of all, they can produce it in massive volumes.
Speed is one thing, but availability is what actually moves the needle on pricing. CXMT is reportedly currently targeting a production capacity of millions of wafers per month as we head toward 2026.
To put this in perspective, the DRAM market is currently a victim of tight supply-demand cycles. When supply is high, prices crater. By flooding the market with high-quality, high-speed DDR5 dies, CXMT could force a global change.
It could force the established giants to reconsider their pricing strategies. If CXMT can offer 8000 MHz performance at a fraction of the cost of current enthusiast kits, the premium tax on high-speed memory could evaporate.
2026 Is A Really Important Year
2026 could be the make-or-break year for CXMT as it could disrupt the market with its offerings. Users are currently migrating to AM4 because DDR5 prices are so high. Well-priced DDR5 memory could head them back to AM5.
Moreover, DDR4 memory is quite outdated at this point. Based on heavy output daily tasks and game requirements have become DDR5 will be necessary for future PCs. But users can’t do anything right now because of the prices.
If we look at the bigger picture, this isn’t something that just affects CXMT, but also the entire manufacturing industry. If the Chinese manufacturers provide good value, they could force Samsung and SK Hynix to change their strategies.
Another place where the difference might be seen is with mobile devices. Reports indicate that 4GB RAM phones could make a comeback, but with CXMT also making mass mobile memory, this could change, too.
And this brings us to how all this is a huge monopoly that is led by a few major manufacturers.
Can This End the DRAM Monopoly?
For so many years, Samsung, SK Hynix, and Micron have dominated the market. The entry of a 4th major manufacturer could disrupt the monopoly. This is essentially great news for PC enthusiasts, as it could be the start of something positive.
Competition is always healthy, and it pushes companies to compete against each other, and who benefits the most from this? That’s right, the consumers. If the new players can provide better value, the established brands will follow.
However, it’s not all sunshine and roses; CXMT won’t be able to assert global dominance that easily. Trade regulations, especially in the US, could cause issues. In addition, global distribution isn’t an easy task either.
Nonetheless, CXMT’s massive production lines do look promising and have the potential to put the DRAM market back on the right track, if executed well. Let’s just hope this kicks off something good and 2026 is a year of regularly priced RAM once again.
What are your thoughts on CXMT disrupting the DRAM market with its 8000 MHz DDR5 memory and massive production lines? Let us know your opinions in the comments or join the discussion at the official Tech4Gamers Forum.
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News Reporter
Abdullah is an avid gamer who primarily plays single-player titles. If you can’t find him anywhere, he’ll probably be at his desk playing The Witcher 3 for the millionth time. When he isn’t playing games, he’s either reading or writing about them.
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