Far East memory shipments on hold after Hynix explosions

312 Flares 312 Flares ×

Following the huge chemical explosions that took out 15% of the world’s memory production a short while ago, KitGuru has now been in contact with several major memory companies and we have been told “Everything is on hold”.

As KitGuru reported earlier today, Hynix fabrication plants 1 and 2 (FABs) have been put out of action following huge chemical explosions.

With the latest estimates placing Hynix somewhere around 30% of the world’s DRAM production – for Hynix to lose half its capacity in seconds is about as serious as it gets in the technology market.

High performance GDDR5 from these FABs is crucial to the production of nVidia’s fastest GeForce GTX cards, so if you were thinking about buying one – then NOW might be the right time.

Our sources in the Far East have just told us that major memory brands have stopped shipping anything at all, until they know the full extent of the damage and how the markets will react.

This makes sense.

If you are a major memory brand and your warehouses in the Far East, Europe, USA etc are all packed full of product that was destined to be sold as the ‘pre-explosion price’, why wouldn’t you wait a day or two to see just how far the memory price will jump?

Given the profiling information we have seen on Hynix so far, it seems as though the slower cheaper memory in the world will ‘float up’ in price a little, while the performance product pricing will leap up like a leopard.

The Hynix fires will have huge repercussions across the market

The Hynix fires will have huge repercussions across the market. This memory stuff is everywhere.

KitGuru says: When the floods hit Western Digital in Thailand, the effect on the global market was significant, immediate and long-lasting. We can’t see this being any different. It took over 12 months for pricing to come back to pre-flood levels. Want to bet this will be the same?

Comment below, in the KitGuru forums or online over at Facebook.

VN:R_U [1.9.22_1171]
Rating: 5.0/5 (1 vote cast)
Far East memory shipments on hold after Hynix explosions, 5.0 out of 5 based on 1 rating
312 Flares Google+ 2 Twitter 21 Reddit 1 StumbleUpon 0 Email -- Facebook 288 312 Flares ×

8 Comments
  • Update: Hynix plant fire leaves memory shipments on hold
    September 4, 2013
    #1
    VA:R_U [1.9.22_1171]
    Rating: 0.0/5 (0 votes cast)

    [...] earlier today after a fire swept through the building. Several major memory suppliers have may have stopped shipments until they know the full extent of the damage to the Hynix plants and what effect it will have on [...]

  • ¡Incendio en fábrica Hynix! Habrá escasez de memorias RAM | mundoTEKNO
    September 4, 2013
    #2
    VA:R_U [1.9.22_1171]
    Rating: 0.0/5 (0 votes cast)

    [...] Link: Kitguru [...]

  • Chin Lee
    September 5, 2013
    #3
    VA:R_U [1.9.22_1171]
    Rating: 0.0/5 (0 votes cast)

    This is not yet confirmed

    VA:R_U [1.9.22_1171]
    Rating: 0 (from 0 votes)
  • Brunswick Plantation
    September 5, 2013
    #4
    VA:R_U [1.9.22_1171]
    Rating: 0.0/5 (0 votes cast)

    I hope everyone made it out safely!!

    VA:R_U [1.9.22_1171]
    Rating: 0 (from 0 votes)
  • That Guy
    September 5, 2013
    #5
    VA:R_U [1.9.22_1171]
    Rating: 0.0/5 (0 votes cast)

    Following Dramexchange.com Today so far showing average of 18% increase in global market price

    VA:R_U [1.9.22_1171]
    Rating: 0 (from 0 votes)
  • Touko
    September 5, 2013
    #6
    VA:R_U [1.9.22_1171]
    Rating: 0.0/5 (0 votes cast)

    Quoting the News: “nobody got killed”

    This was an engineered ‘accident’ to raise prices, either by Hynix, a competitor or another unknown third party.

    VA:R_U [1.9.22_1171]
    Rating: 0 (from 0 votes)
  • DR Newman
    September 12, 2013
    #7
    VA:R_U [1.9.22_1171]
    Rating: 0.0/5 (0 votes cast)

    Everything said is correct but one thing is being over looked , The Hynix plant will be rebuilt and likely with MAJOR improvements to production and Technology , This is a opportunity for Hynix to jump far ahead of its Competitors , At South Korea’s current state of building I would expect the plant to be re opened in only 18 months , Stronger Faster Better

    VA:R_U [1.9.22_1171]
    Rating: 0 (from 0 votes)
  • DRAM Price Spikes Follow Plant Explosion, Likely to Continue Into 2014 - Dice News
    April 2, 2014
    #8
    VA:R_U [1.9.22_1171]
    Rating: 0.0/5 (0 votes cast)

    [...] OEMs and resellers who buy processors from the Wuxi plant have slowed or stopped shipment of chips bought at pre-fire prices while they wait to gauge the effect of the fire on global DRAM pricing, according to Asian electronics-industry news source KitGuru. [...]

Leave a Reply:



 

Polls

As i51 kicks off, how often do you game on a PC?

View Results

Loading ... Loading ...
KitGuru Facebook
*
Latest News Latest Previews
Related Posts
Archives