DRAM manufacturers are hopeful that Intel's Sapphire Rapids Xeon CPUs might be the ray of hope that accelerates demand within the server market.
DRAM Makers Hopeful For Market Rebound As Intel's Sapphire Rapids Xeon CPUs To Be Utilized By Tech Giants
Based on a report from Korean firm, ChosunBiz, it looks like DRAM manufacturers including SK hynix and Samsung are placing bets on a server market rebound as early as Q2 2023 as Intel's recently launched Sapphire Rapids Xeon CPUs are expected to be adopted by tech companies including Amazon, Google, META & Microsoft.
The last few months have taken a toll on DRAM producers as demand has been on a decline but with the recent launch of brand-new server products, it looks like they can finally expect good days ahead. According to the firm, Sapphire Rapids Xeon CPUs will be Intel's first server products to adopt the DDR5 memory standard and although AMD's EPYC Genoa did it first, it looks like Intel plans to have its server lineup available broadly and it will be a fight of who can deliver the most server chips to an industry which is starving for more performance.
Intel's Sapphire Rapids Xeon CPUs are expected to start replacing the previous-gen platforms by May 2023. South Korea also expects domestic companies, including Naver and Kakao, to utilize Intel's brand-new Xeon hardware to power their server needs. Both Sapphire Rapids CPUs & DDR5 server memory will be in full production by May. The new chips also support the XCL standard that allows a standardized interface for the Xeon platform.
Experts believe that supply of DDR5 DRAM will begin in earnest after May when production of Sapphire Rapids increases, which will serve as an opportunity to rebound from the semiconductor slump. An industry insider positively predicted the server DRAM market this year, saying, "As global hyperscalers (global data center companies) such as Meta continue to announce their aggressive metabus industry investment plans, data traffic is also steadily growing."
Analysts predict that AMD's EPYC server share could hit or even breach the 30% mark by the end of this year but if Intel manages to offer a sustained supply of Xeon CPUs to the server giants, then we can see a heated battle between the two companies in this segment.
News Source: Harukaze5719