DRAM Supply to Tighten Sharply in 2027 as Capacity Sells Out

The industry has recently received what upstream memory makers described as a friendly notice, stating clearly that shipments will contract sharply in 2027, that the DRAM supply-demand gap will be very large, and that capacity for 2027 to 2028 is almost fully booked.

Samsung, Micron and SK Hynix have allocated all of their DRAM and HBM capacity for the whole of 2027, covering both large long-term agreement customers and small and medium-sized buyers. Most customers ultimately received only 60% to 70% of the volumes they initially requested, and none of the three memory makers has plans to add production lines.

Team Group's main products are DRAM, which account for about 75% to 80% of its business. Its operating strategy for 2027 will focus on safety stock and customer selection.

Goldman Sachs forecasts that from 2026 to 2028, the supply-demand gap will remain severe.