End-of-life, start of trouble

Smith’s director of global commodities, Claudio Chan, explains how to navigate the complexities of the ongoing DDR4 end-of-life with flexibility, strategy and knowledge 

 DDR4 may be dead, but the challenges are just beginning. A little more than a year after Samsung, SK hynix and Micron announced that they were transitioning away from DDR4 to focus on new generations and higher bandwidths, DDR4 demand remains strong on the open market. Existing backlogs, lower-end server infrastructure, ongoing expansion of online platforms and upgrades to installed systems have sustained the lifespan of the older memory. 

 There lies the problem. Demand is continuing while supply is dwindling. Despite extending their long-term supply support through late 2026, both Samsung and SK hynix have stopped taking new orders and Micron’s last-time shipment date has passed. As the industry gets further from DDR4, those relying on it are going to have to shore up their sourcing to ensure they have the necessary supply. 

 Adapting to the new normal of the DDR4 market requires procurement teams to expand their reach—and their strategies—to find the hard-to-find parts. Tapping into global networks through the open market unlocks new channels and opportunities as supply continues to shrink. With the help of an experienced independent distributor, access to the full breadth of these channels can ensure a continuous flow of DDR4 as sources dry up over time. 

 While demand is still high, some manufacturers are willing to part with their excess inventory to take advantage of rising ASPs. Secondary market experts have broad connections across industry to find pockets of supply, opening them up and facilitating sales to keep parts moving. While it may not always be the most economical option, it creates a long off ramp for those who need it. 

 Independent distributors can also offer alternative solutions. Flexible inventory-management programs allow procurement teams to buy memory at current ASPs without taking on additional warehousing burden. Buffer stock can be stored in secure third-party warehouses for future use and shipped on demand or on a set schedule.  

 Open market experts are also a great source of knowledge and information. With global vision and broad client bases that stretch across industries, independent distributors are usually the first to see headwinds. Building a strong relationship with a trusted partner can grant early access to market shifts, letting procurement teams adjust their strategies.  

 Today is the least constrained the DDR4 market will be moving forward. With each day that passes, demand continues to eat into limited supply. As the market continues to follow the narrowing path forward, procurement teams need to broaden their supply chain as wide as possible to ensure they have the memory needed to build their products and maintain their infrastructure. A top-tier independent distributor can serve as a partner in overcoming the challenges within the commodities market and ensure the flow of DDR4 until a full transition can be made.  

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