Framework Adjusts DDR5 Memory Pricing Amidst Market Volatility
Framework have impacted a 50% increase on DDR5 memory for the new Framework Laptop DIY Edition orders. This revision is a direct result of supplier prices facing a substantial increase. Nevertheless, even with this increase, our new price remains well below current open-market rates. Existing orders will not be affected by this increase, nor will it apply to pre-builts or the Framework Desktop yet.
Our Principles on Pricing
The memory market is highly volatile, and we foresee brief periods of further testing as suppliers increase costs in the coming weeks and months. This would arguably lead to future price updates on memory modules and systems. Throughout this phase, we will hold on to three general principles:
- Transparency: Any amendments to the memory and system pricing will be publicly communicated, alongside a clear explanation of the reasons for such.
- Fairness: Price increases will only be instituted to offset our own rising costs. Where possible, we will absorb costs to keep the price as stable as we can for you.
- Reversibility: In the days to come, if our costs from suppliers decrease, we will revise our pricing downwards and announce such.
The Cause An Industry-Wide Memory Supply Imbalance
The paramount reason behind these increases is an industry-wide imbalance in the supply versus demand of memory. This dynamic has really two major factors:
- Massive Demand from AI: A massive amount of memory is consumed in ramping the construction of AI data centers and servers. For example, enough LPDDR5X memory for a thousand laptops is used by a single rack of NVIDIA's GB300 solution.
- Constrained Supply: Historically, the big memory manufacturers (Micron, SK Hynix, Samsung) have held back from investing in new fabrication capacity. Now that demand is surging, there is a multi-year lag time to bring that new supply online. In addition, the capacity there is is now prioritized for higher-margin server memory (like HBM) over the PC market.
Navigating a Challenging Market
Strong partnerships with suppliers like Micron, module makers like ADATA, and the flexibility of our DIY Edition model allow us to weather this constrained environment. Our commitment to transparency remains; we will continue to ensure available memory.
Important Update to Return Policy
Due to the fact that our memory is now priced way below market, our return policy will be amended. This is to prevent scalpers from buying a DIY Edition laptop with memory, returning the laptop, and keeping the underpriced modules. Effective immediately, returns of laptops will also require the return of the memory from the original order.
