The adoption of DDR5 used in server DRAM is expected to be slower than thought this year, according to analyst firm Omdia.
Omdia said it expected DDR5 to account for 28% of the server DRAM market but has now adjusted this to 13%.
The analyst firm said this was because the recovery of the server DRAM market was showing to be slower than expected.
The global memory chip market is suffering a downturn due to global inflation and high inventories of customers.
Cloud service providers, such as Meta, Microsoft, Google, and AWS, are delaying updating their data centers due to rising costs.
DDR5 will only account for 3% of the server DRAM market in the first quarter; 8% in the second quarter.
This will jump to 15% in the third quarter then 24% in the fourth quarter, according to Omdia.