RAM shortage lawsuit claims memory makers shifted supply toward HBM
Class action claims memory makers reduced DDR3 and DDR4 supply
Samsung, SK hynix and Micron are facing a US class action lawsuit over alleged DRAM price fixing and supply restrictions. The complaint was filed by a proposed class of individual and business consumers, according to Law360.
The lawsuit claims the three companies coordinated a reduction in conventional DRAM supply while shifting production focus toward HBM. This memory type is used mainly by AI accelerators and datacenter hardware. The complaint argues that this move reduced availability of DDR3 and DDR4 memory and pushed prices higher for consumers.
“The DRAM oligopolists have simultaneously cut production, coordinated a pivot to HBM and exit from DDR3 and DDR4, and otherwise decreased and locked up conventional DRAM supply while prices charged up with mind-blowing scale and rapidity,”
The filing also argues that Samsung, SK hynix and Micron control most of the global DRAM market. It claims new competitors cannot easily increase output because DRAM fabs can cost tens of billions of dollars and take years to build. The complaint says this leaves buyers exposed when the largest suppliers reduce output.
Not the first time
The lawsuit says the companies “simultaneously cut production” and moved resources toward HBM while conventional DRAM prices increased. It claims at least one supplier should have increased output in a competitive market once prices started rising. According to the complaint, this did not happen.
GSkill RDIMM memory for servers
The filing also refers to previous DRAM price-fixing cases. Samsung and Hynix pleaded guilty in 2005 in a US Department of Justice case, while Micron avoided a fine after cooperating with prosecutors. The new lawsuit claims the current situation is another cycle in the same market.
Hardware prices continue to rise
The lawsuit arrives as memory and storage costs are already affecting consumer hardware pricing. Microsoft recently raised Xbox console prices and said memory and storage costs had increased by more than 2.5x . Valve also confirmed that its Steam Machine pricing target was no longer viable, with the system now starting above $1,000.
For PC users, the case is another sign that the memory shortage is no longer limited to component pricing. DRAM and NAND costs are now feeding into full systems, consoles and other devices. The lawsuit still needs to prove its claims in court, so these remain allegations against Samsung, SK hynix and Micron. Let’s hope they do.
