DRAM Pricing Crisis: How Rising Memory Costs Are Killing the Hobbyist SBC Market
Raspberry Pi has announced sweeping price increases across its product line, with the 16GB Raspberry Pi 5 now costing $299.99. According to Jeff Geerling, a prominent maker and SBC reviewer, the hobbyist single-board computer market may be on its last legs.
The Problem
LPDDR memory chips now account for the majority of board cost for SBC vendors. The price increases have been dramatic:
| Board | Previous Price | New Price |
|---|---|---|
| 16GB Pi 5 | Lower tier | $299.99 |
| 3GB Pi 4 (new) | N/A | $83.75 |
| 8GB Mini PCs | ~$150 | $250+ |
Ripple Effects
- Fewer new boards: Only Radxa maintained a reasonable launch cadence in 2025
- Hobbyist exodus: Higher RAM models are now out of reach for most makers
- Mini PC price inflation: Even budget mini PCs with 8GB RAM have crossed $250
- Used market squeeze: Pre-owned computers with 4GB+ RAM are also more expensive
Impact on Maker Culture
Geerling designs most projects to be replicable for under $100, noting that learning is easier on cheaper parts. With prices rising, the types of accessible projects are shrinking:
"I'm working more with older SBCs and microcontrollers now, and I think that's the direction many in the hobbyist space are going."
Will Prices Recover?
Raspberry Pi founder Eben Upton expressed optimism that memory prices won't remain at current levels indefinitely. However, the timeline is uncertain, and some smaller SBC vendors may not survive the wait.
Raspberry Pi has a diversified business with a thriving microcontroller ecosystem and industrial customer base. Smaller vendors lack that safety net and face an existential threat from the DRAM pricing crisis.
The Bigger Picture
The DRAM pricing squeeze reflects broader semiconductor supply chain dynamics. As AI accelerators and data center demand consume an increasing share of memory production, consumer and hobbyist markets face persistent price pressure. This trend may permanently reshape the accessible computing landscape.
Source: Jeff Geerling Blog, Raspberry Pi Official