CXMT raises server memory prices above Samsung as demand surges

Chinese memory maker ChangXin Memory Technologies has started pricing some server DRAM modules above comparable products from Samsung. According to Reuters, a 64GB DDR5 RDIMM module from Samsung costs about $1,240, while CXMT has recently been asking for even more. The exact price of the Chinese modules was not disclosed.

Prices are rising as demand for memory used in servers, cloud platforms and artificial intelligence systems accelerates. Chinese suppliers once seen as lower-cost alternatives to Samsung, SK Hynix and Micron can now be more selective about customers and impose tougher supply terms.

The increases have also affected Huawei, a major CXMT partner. Sources said the memory maker raised prices for several months and refused to offer a discount when Huawei asked for softer terms. Several other Chinese technology companies also complained to regulators about higher prices from CXMT and YMTC, linking them to delays in new device launches.

At the same time, Chinese companies are trying to reserve memory supplies years in advance. CXMT has signed large long-term agreements with local technology groups, including a contract with Tencent worth more than 20 billion yuan, or about $2.94 billion. Strong demand is helping the company expand capacity and prepare for a stock market listing.

CXMT is now the world’s fourth-largest DRAM producer, although its output still trails Samsung, SK Hynix and Micron by a wide margin. The current situation shows that expanding domestic production has not yet brought prices down: when supply is tight, local chips can cost as much as, or even more than, foreign alternatives.