Core Insights - The demand for DRAM is experiencing explosive growth, leading to a "shortage era" in memory modules, driven by the expansion of data center construction [1] - NVIDIA's shift to LPDDR memory for AI servers is expected to cause a "structural upheaval" in the memory supply chain, as it will become a major memory purchaser comparable to large smartphone manufacturers [1][3] - The transition to LPDDR5 memory is not new for NVIDIA, as it was already integrated into the Blackwell GB200 platform 18 months ago, indicating a long-term strategy rather than a recent decision [1] Memory Price Forecast - Memory prices are projected to increase by up to 50% in the coming quarters, potentially leading to a total increase of 100% within a few months when combined with previous estimates [3] - The shift to LPDDR memory is driven by its higher energy efficiency and effective error correction mechanisms, which are beneficial for the AI industry but may pose challenges for consumers [3] Market Growth Expectations - Counterpoint Research forecasts a stable growth of 30% in the memory market until Q1 2026, with a significant increase expected from Q1 to Q2 2026 [5] - The demand for LPDDR5 and higher specifications is widespread in PC and mobile supply chains, particularly in modern smartphones, but NVIDIA's required memory capacity exceeds current supply capabilities, leading to a "highly tense" supply chain situation [5][6] Supply Chain Challenges - The entire memory sector, including HBM, DDR, LPDDR, GDDR, and RDIMM, is expected to face shortages, impacting all users [6] - The industry is anticipated to take several quarters to adapt to the changes in the supply chain and restore normalcy [6]