No more price drops, DRAM makers say

Manufacturers of DRAM memory are through lowering prices in order to compensate for reduced demand, according to a DRAMeXchange report quoted by HKEPC. We heard last week that some memory makers planned to reduce production, because the price of chips was getting too close to that production costs using 90nm process technology on 300mm silicon wafers. But since then, memory prices appeared to continue to sink.

Now, HKEPC says DRAM makers have indicated that "no additional price cuts would be made" as a result of "continuing losses." Spot prices for DDR2 memory chips have already started increasing, although the DRAMeXchange report HKPEC quotes suggests that price increases will be limited "at least before June," since big PC vendors and major memory buyers already have significant inventories that may last for more than a month.

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