Navigating Memory Component Shortage: Causes, Risks, and What to Do Now

By Daniel Åkerlund, Product Manager Embedded & Storage

 

Over the past months, I've had countless conversations with customers, suppliers, and partners about something we last saw during the pandemic: simultaneous shortages across multiple core components: DDR4, DDR5, CPUs, certain SSDs, and embedded modules. 

 

For many in our industry, this isn’t just about longer lead times. It’s about production lines at risk, delayed customer deliveries, and the very real possibility that a system running flawlessly for years may suddenly become impossible to maintain. 

 

After connecting the dots from these conversations and watching the market unfold, here’s what’s actually happening and what it means for our customers. 

 

The Perfect Storm: What have caused the component shortage

These shortages are caused by various reasons, causing what one might call the perfect storm.  

DDR4 is disappearing fast due the high demand of DDR5 & HBM for AI solutions 

Major manufacturers have dramatically accelerated their shift to DDR5 and HBM (High Bandwidth Memory) production to feed AI demand. Spot prices for DDR4 have risen by around 50%, contract prices by 10–15%, and in some cases industrial DDR4 modules have surged 85–90% in a single quarter. 

 

The modules we rely on for industrial platforms are simply vanishing from allocation lists. 

 

Tight DDR5 availability causes issues to the “easy upgrade” strategy 

A year ago, moving from DDR4 to DDR5 looked like a straightforward mitigation strategy. Today, DDR5 availability is also tightening in several segments, especially where industrial requirements narrow the field: long lifecycle expectations, validated BOMs, specific form factors, temperature ranges, and supplier consistency. 

 

In practice, that means some customers are getting squeezed from both sides:  DDR4 is harder to source (and increasingly volatile in price) while DDR5 is not an unlimited safety valve and qualifying it still takes time. 

 

Intel’s CPU supply is tightening significantly 
 

Intel has confirmed capacity constraints on their Intel 10 and Intel 7 nodes, limiting their ability to meet demand for both data center and client products. Shortages are expected to persist into 2026. Intel is prioritizing data center CPUs over client chips and has warned of price increases. 

 

For industrial PC platforms that depend on long-term availability, this creates serious risk—especially when validation cycles can take months. 

 

How does this impacts our customers? 

Beyond the extended lead time, this is where the real pain shows up: industrial platforms are validated ecosystems, not shopping carts. 

 

When a key component becomes constrained or goes EOL, the impact ripples outward: 

• Production disruptions: a single missing memory module, CPU, or SSD can stop a full system build and delay customer deliveries. 

• Life-cycle risk: service and spare-part strategies get fragile when “standard parts” become non-standard overnight. 

• Cost volatility: quotes become harder to hold, and pricing can move faster than project timelines. 

• Engineering overhead: replacement isn’t just swapping a part—it's BIOS configuration, driver compatibility, OS imaging, test cycles, and sometimes recertification or regulatory approval. 

• Planning uncertainty: customers may be forced into faster platform decisions than their roadmap intended. 

 

Simply put: availability risk turns into delivery risk—and delivery risk turns into customer risk. 
 

What worries me most, is that it’s not just about one component. A single missing module can halt an entire customer delivery. And for validated industrial platforms, redesigning isn’t a quick fix. It requires retesting, recertification, and often regulatory approval. 

 

What You Can Do Right Now 

From my daily work with industrial platforms, here are the actions that make the biggest difference: 

 

1) Map Your Dependencies 

Review upcoming builds and identify every DDR4/DDR5 module and CPU generation you're tied to. If your platform depends on specific Intel generations or memory configurations, you need visibility now. 

 

2) Qualify Alternatives Before Urgency Strikes 

The best time to test a backup module or alternative board is before you have no choice. Start parallel qualification processes now. 

 

3) Extend Your Planning Horizon 

12–24 months forecasts aren’t optional anymore. They’re essential for securing allocation before shortages peak in Q1 2026. 

 

4) Budget Time for Platform Changes 

BIOS configurations, OS imaging, driver updates, and approval processes take time. Starting early reduces downtime and panic-driven costs. 

 

How EG Is Supporting Customers Through This 

We’ve adapted our approach to help customers navigate this uncertainty, if they need complete systems or components or with their challenges with availability, validation, or continuity. 

 

Proactive sourcing of systems and components 

We support customers with both integrated systems and standalone components, and we work actively to secure supply where it’s most critical. That includes: 

• leveraging multiple supplier channels, 

• exploring equivalent or compatible alternatives, 

• prioritizing continuity for customers with long-lifecycle platforms. 

 

Alternative validation support (before the crisis call) 

Our FAE and PM teams work alongside customers to identify and validate alternatives before modules go EOL or become unavailable. The goal is to reduce surprise changes and shorten reaction time when the market shifts. 

 

Strategic inventory and agreements 

Using our Nordic integration centers and production facilities, we strengthen availability for critical projects through forecasting, buffer stock, and long-term partnerships. 

 

Local configuration and testing 

Windows/Linux imaging, BIOS setup, driver integration, and full system validation happen locally. This dramatically shortens reaction time when you need to pivot. 

 

Final Thoughts

The semiconductor market’s complexity won’t resolve overnight. But preparation and the right partnerships can protect your delivery reliability and product lifecycles. 

 

If your platforms depend on DDR4, DDR5, specific Intel CPU generations, or industrial storage, now is the time to review your situation. 

 

I’m always open to discussing how to secure your next builds or plan a safe migration path forward. Let’s connect and find the best path to secure your platforms for today and long term.