According to industry sources, Samsung has decided to extend DDR4 1z DRAM production until the end of 2026, reversing its original plan to phase it out by late 2025.

Samsung had previously notified clients that it would gradually wind down 1z-node DDR4 DRAM production by the end of 2025. However, the company has now scrapped those plans and is expected to formally inform customers of the updated timeline later this year.

This shift comes as Samsung faces delays in high-bandwidth memory (HBM) certification, trailing competitors SK Hynix and Micron. With HBM demand surging due to AI-driven applications, Samsung is currently ramping up its HBM capacity. But to maintain profitability and optimize fully depreciated 1z production lines, the company is keeping its DDR4 operations running longer. These legacy lines allow low-cost output, which can still contribute significantly to earnings.

Another factor influencing the decision is the recent spike in DDR4 DRAM prices. As both SK Hynix and Micron reduced DDR4 output to prioritize HBM, supply tightened. Additionally, some hardware makers have been stockpiling DDR4 ahead of potential U.S. tariff impacts.

According to DRAMeXchange data, PC-grade DDR4 8Gb (1Gx8) fixed pricing rose 50% in July to $3.90. The chip had already seen three consecutive months of double-digit price increases: 22.22% in April, 27.27% in May, and 23.81% in June. TrendForce reports that in July, DDR4 8GB module contract prices reached $26.50, even surpassing DDR5 modules at $25.50.

By extending its DDR4 production, Samsung may help stabilize short-term supply. While a price drop is unlikely, analysts expect the rate of increase to slow. At the same time, the decision also signals potential setbacks in Samsung's HBM expansion efforts.