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DRAM pricing to rise due to lower supply

Posted on Tuesday, April 02 2013 @ 12:34:39 CEST by

DigiTimes writes pricing of DRAM chips is on the rise as memory makers are cutting back production to allocate more capacity to more profitable forms of memory such as mobile DRAM chips. Pricing of DRAM chips has risen more than 50 percent since the start of the year:
Major DRAM firms including Samsung Electronics, SK Hynix and Elpida Memory already allocated more of their available capacities for the production of products for smartphones and tablets, while reducing the output of PC DRAM chips, the sources said. Contract prices for DRAM chips have risen more than 50% since the beginning of 2013, the sources indicated. Prices went up almost 20% in March alone, the sources added.

Due to a shrinking PC market, second-tier DRAM chipmakers have shifted their focus to non-PC memory products, including mobile DRAMs and server-use chips. Some have even decided to gradually phase out from the DRAM market, causing a tighter supply situation, the sources observed.



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