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Memory market suffering badly from recession

Posted on Tuesday, February 10 2009 @ 23:03:06 CET by

Research firm iSuppli reports the memory market is doing worse than expect. The firm says global DRAM revenue totaled only $4.2 billion in Q4 2008, significantly lower than the predicted $5.8 billion. The market saw nearly zero growth and a 38 percent drop in average selling prices (ASP).
iSuppli says market conditions were so bad that even Samsung—the global DRAM market leader—"completely [missed] its shipment growth guidance, suffering a decline in market share and losing money for the first time in a year." Taiwanese DRAM makers were the hardest hit, with the top three (Nanya, ProMos, and PowerChip) suffering revenue drops in the 50-75% range.

On the other side of the coin, Micron did better than the rest of the market by far, seeing a revenue drop of just 16.4%. The U.S. DRAM supplier also enjoyed market share growth from 10.2% to 13.8% between Q3 and Q4, bringing it closer to number three DRAM supplier Elpida. Global number two Hynix saw the second-smallest revenue decline: a still-massive 32.7%.



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