The AI memory crisis just hit DDR2, a standard from 2003, with 60% price hikes Hardware makers are downgrading to older memory generations like DDR2 due to a severe AI-driven DRAM shortage, causing contract prices to surge by 55-60% in Q2 2026, with further increases anticipated. This shortage stems from major manufacturers prioritizing high-bandwidth memory (HBM) for AI data centers over consumer and commodity DRAM. The scarcity has cascaded through memory types, impacting DDR5, DDR4, DDR3, and now DDR2, with only a few suppliers remaining for the oldest standard.

• DDR2 contract prices increased by 55-60% in Q2 2026 due to AI-driven DRAM shortages.
• Hardware makers are downgrading from DDR4 and DDR3 to DDR2 to secure supply.
• The shortage is caused by manufacturers redirecting capacity to high-bandwidth memory (HBM) for AI data centers.
• This reallocation has created a shortage cascading through DDR5, DDR4, DDR3, and now DDR2.
• Only a few companies, like Winbond and ESMT, still produce DDR2, with Winbond winding down production.
• The broader memory crisis is impacting consumer electronics, with potential price increases for smartphones, PCs, and tablets.
• Long-term capacity expansions are planned but will not address the immediate shortage.
• Chinese manufacturer CXMT offers an alternative for DDR5 but is also converting some capacity to HBM. Continue reading https://thenextweb.com/news/ddr2-memory-prices-surge-ai-shortage-legacy-dram