HBM4 Prices Expected to Double to $4-5 Next Year, Driven by AI Demand and Supply Constraints

According to DigiTimes citing industry sources, HBM4 prices are expected to surge from around $2 per gigabit in the second half of 2026 to $4-5 or higher in 2027. HBM3E prices, currently at $1.5-1.6 per gigabit, are also expected to rise in tandem.

The price surge is driven by soaring demand for HBM4 ahead of Nvidia's next-generation AI platform rollout, coupled with severe supply bottlenecks. HBM4 production requires wafer capacity three times that of DDR5 memory, with production cycles of 4-6 months compared to 3-3.5 months for DDR5. Additionally, long-term supply agreements (LTA) with major AI customers are further tightening available supplies, with estimates suggesting 20-30% of DRAM production capacity could be reserved under such contracts.