By Muhammad Zuhair
Publication Date: 2025-11-19 12:53:00
It appears that NVIDIA is making a drastic change within the AI memory supply chain, as the firm is now looking to integrate LPDDR modules into AI servers, switching from the traditional DDR technology.
NVIDIA’s Pivot From DDR5 to LPDDR Memory For AI Servers Will Put Massive Pressure On PC/Mobile Supply Chains
Memory modules have now entered the ‘era of shortages’, driven by massive DRAM demand the industry has been witnessing for the past few months, and initially, it was estimated that the impact wouldn’t be too much considering that DRAM capacity was in the phase of expansion; however, it appears that the datacenter buildout has reached new levels. This has prompted manufacturers like NVIDIA to make drastic decisions, one of them being the use of LPDDR memory type for AI servers. Based on what Counterpoint Research has disclosed, this move will trigger a ‘seismic shift’.
The bigger risk on the horizon is with advanced memory as NVIDIA’s recent pivot to LPDDR means it is a customer on the scale of a major smartphone maker — a seismic shift for the supply chain which can’t easily absorb this scale of demand.
– Counterpoint
As far as memory prices are concerned, it is reported that they are expected to rise by up to 50% within just a few quarters, adding on to the already-estimated 50% YoY increase, which means that within a span of a few months, we are looking at a gigantic 100% rise. One of the main reasons why NVIDIA intends…
