Key Points
- MSI launched three Intel B860 motherboards in China with BIOS optimizations for CXMT DDR5 memory, China’s first local manufacturer of DDR5 memory.
- Due to production restrictions, CXMT’s DDR5 chips are 40% larger, but they offer a local alternative despite potential sanctions.
- CXMT undercuts competitors in DDR4 pricing by 50% and aims to do the same with DDR5 over time.
- MSI’s strategy focuses on price-sensitive markets, where cost efficiency outweighs performance concerns.
MSI has recently introduced several Intel B860 motherboards in China, featuring optimized BIOS support for ChangXin Memory Technology (CXMT) DDR5 memory modules. The newly listed models include the MAG B860 Tomahawk Wi-Fi, MAG B860M Mortar Wi-Fi, and Pro B860M-A Wi-Fi, priced at approximately RMB 1,699 (US$235), RMB 1,499 (US$205), and RMB 1,299 (US$180), respectively.
According to Chinese tech outlet Sina, the BIOS for these motherboards is tailored to support CXMT DDR5 memory chips, marking a significant step for the Chinese memory manufacturer. CXMT began producing DDR5 chips in December 2024, making it the first Chinese company to offer locally manufactured DDR5 memory.
CXMT uses a less advanced production node to comply with U.S. export restrictions, resulting in chips about 40% larger than established competitors like Samsung and Micron. This difference could lead to performance disadvantages compared to rival products, but CXMT holds a strategic edge as the sole local DDR5 supplier in China. If geopolitical tensions result in further sanctions or restrictions, CXMT could capture a significant portion of the domestic market.
Despite its current size and potential performance drawbacks, CXMT aims to refine its technology to enhance efficiency and reduce production costs. The company has already positioned itself as a budget-friendly alternative by offering DDR4 memory at nearly 50% lower prices than Samsung’s, and similar cost-cutting strategies could apply to its DDR5 offerings.
MSI’s decision to optimize its B860 motherboards for CXMT DDR5 memory suggests an expectation of strong demand in China. The price-sensitive consumer base may prioritize affordability over top-tier performance, especially for budget-friendly motherboard options. Additionally, local manufacturing eliminates import duties, potentially making CXMT memory more cost-effective in the long run.
By targeting budget-conscious consumers with its B860 series, MSI is positioning itself to capitalize on the emerging demand for CXMT’s homegrown DDR5 modules, which could become a key component in China’s evolving semiconductor landscape.
