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Prices for 1Gb DDR2 chips hit new lows

Some time ago, analysts and executives
memory manufacturers expressed the opinion that the Olympics will be held and with
the beginning of the new school year, the demand for memory will increase and with this and
prices will stabilize (rise).

However, this did not happen, the expectations of the chip makers were not destined
it came true. According to DRAMeXchange, the price of a 1-Gbps chip
fell by 7%, t.e. is now only $ 1.51. What is it like
reported – a new record for the minimum price for such memory. Previous minimum
prices for these products were observed in November last year, when a 1-Gbit chip cost
$ 1.57.

Memory market players say that the fall in contract prices
DRAM memory in the second half of August is directly related to
low demand from OEMs and PC assemblers.
The latter’s memory inventories have been cut, and some orders have simply
canceled.As a result, DRAM manufacturers only and
it remained to reduce the price further. Therefore, recently there has been
stable downward trend in prices. They can be even lower in October.

A decrease in spot prices in July resulted in a drop in contract
prices, manufacturers were forced to look for ways to save production in the transition
to new standards and technological processes. However, this measure, the transition to 50nm norms,
can lead to the rapid saturation of this segment of the memory market, note
DRAMeXchange specialists.

Source: Tech-On!

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