memory price | KitGuru https://www.kitguru.net KitGuru.net - Tech News | Hardware News | Hardware Reviews | IOS | Mobile | Gaming | Graphics Cards Sat, 03 Oct 2015 03:12:53 +0000 en-US hourly 1 https://wordpress.org/?v=6.4.3 https://www.kitguru.net/wp-content/uploads/2021/06/cropped-KITGURU-Light-Background-SQUARE2-32x32.png memory price | KitGuru https://www.kitguru.net 32 32 Prices of DDR3 and DDR4 continue to drop, set to decline further https://www.kitguru.net/components/memory/anton-shilov/prices-of-ddr3-and-ddr4-memory-continue-to-drop-expected-to-decline-further/ https://www.kitguru.net/components/memory/anton-shilov/prices-of-ddr3-and-ddr4-memory-continue-to-drop-expected-to-decline-further/#comments Fri, 02 Oct 2015 21:43:21 +0000 http://www.kitguru.net/?p=270425 Contract prices of dynamic random access memory (DRAM) modules dropped in August and September, despite peak season and anticipated stock-up demand on China, according to DRAMeXchange. Analysts believe that the launch of Microsoft Windows 10 this summer did not catalyse rise of demand, whereas the free Windows 10 upgrade program actually slowed sales of PCs …

The post Prices of DDR3 and DDR4 continue to drop, set to decline further first appeared on KitGuru.]]>
Contract prices of dynamic random access memory (DRAM) modules dropped in August and September, despite peak season and anticipated stock-up demand on China, according to DRAMeXchange. Analysts believe that the launch of Microsoft Windows 10 this summer did not catalyse rise of demand, whereas the free Windows 10 upgrade program actually slowed sales of PCs down. Moreover, prices of memory will continue to drop in the coming quarters.

Average contract price of one 4GB DDR3 SO-DIMM module in the second half of September declined to $18.5 (a drop of 2.63 per cent from the previous period), whereas average contract price of one 4GB DDR4 SO-DIMM decreased to $20 (a reduction of 4.76 per cent from the previous period), according to the world’s leading memory market tracker. In early July one 4GB DDR3 SO-DIMM cost $24.5, whereas in May it was sold for over $27.

gskill_trident_z_ddr4_system

Prices of DRAM have been falling for a number of quarters and even in August and September they did not stop their declines because sales of PCs, smartphones and servers were weak.

“Notebook shipments in the third quarter fall short of what is expected for a traditional peak season mainly because Windows 10 with its free upgrade plan negatively impacted replaced sales of notebooks to some extent rather than driving the demand for these products,” said Avril Wu, assistant vice president at DRAMeXchange. “Furthermore, projected shipments of smartphones and servers have been marked down, and this has seriously eroded the margins of DRAM suppliers.”

While there are only three major DRAM manufacturers on the planet now – Samsung, SK Hynix and Micron – the competition remains heated, causing prices to fall. Moreover, as the industry transits to 20nm process technology for computer memory, it further increases the DRAM output, which negatively affects prices. Samsung Electronics is gearing up to start production of DRAM using 10nm-class (allegedly 18nm) process technology sometimes next year, which will put even more pressure on prices and competitors, reports DRAMeXchange.

corsair_dominator_platinum_ddr4

Slow demand for PCs, servers and other devices coupled with increasing DRAM output will continue to negatively impact prices of memory unless the global economy starts to recover, generating demand for products in general and memory in particular.

“If the global economy continues to stagnate, the end market will not generate the demand needed to effectively consume the new DRAM chips produced on the advanced processes,” said Mr. Wu. “Looking ahead to the first half of 2016, DRAMeXchange expects price decline in the DRAM chip market to become more severe than the current slide.”

Discuss on our Facebook page, HERE.

KitGuru Says: On the one hand, low prices are good for the buyer. On the other hand, problems of DRAM producers caused by low prices and miniscule profitability will inevitably have their negative effect on the whole industry in the future.

The post Prices of DDR3 and DDR4 continue to drop, set to decline further first appeared on KitGuru.]]>
https://www.kitguru.net/components/memory/anton-shilov/prices-of-ddr3-and-ddr4-memory-continue-to-drop-expected-to-decline-further/feed/ 4
Samsung reportedly cuts output of standard DRAM, prices may rise https://www.kitguru.net/components/memory/anton-shilov/samsung-reportedly-cuts-output-of-standard-dram-prices-may-increase/ https://www.kitguru.net/components/memory/anton-shilov/samsung-reportedly-cuts-output-of-standard-dram-prices-may-increase/#comments Tue, 04 Aug 2015 01:48:09 +0000 http://www.kitguru.net/?p=261939 Samsung Electronics has reportedly decided to reduce production of standard dynamic random access memory (DRAM), which could cause increase of DRAM prices in the coming months. The world’s No. 1 maker of computer memory will increase production of LPDDR in a bid to supply enough memory to Apple, which is gearing up to introduce new …

The post Samsung reportedly cuts output of standard DRAM, prices may rise first appeared on KitGuru.]]>
Samsung Electronics has reportedly decided to reduce production of standard dynamic random access memory (DRAM), which could cause increase of DRAM prices in the coming months. The world’s No. 1 maker of computer memory will increase production of LPDDR in a bid to supply enough memory to Apple, which is gearing up to introduce new iPhone handsets.

Samsung will cut DRAM production by around 30 per cent, reports CTimes, citing Taiwanese Economic Daily News. The company plans to use manufacturing capacities currently utilized to make standard DRAM to produce mobile DRAM used in smartphones. Since Samsung’s offering of standard memory will drop, prices of such memory will likely increase in August or September.

samsung_64gb_tsv_ddr4_dram_module

Apple’s next-generation iPhone will integrate 2GB of LPDDR4 memory instead of 1GB, which means that the company will have to purchase considerably more memory ICs [integrated circuits] than last year. In a bid to ensure that it has enough DRAM for its next smartphones, Apple will purchase DRAM not only from SK Hynix and Micron, but also from Samsung.

Demand for personal computers has been decreasing for several quarters, causing oversupply of DRAM. As a result, memory prices have been declining for months as well. Samsung’s decision will likely help DRAM prices to rebound.

Samsung did not comment on the news-story.

Discuss on our Facebook page, HERE.

KitGuru Says: Samsung’s decision to cut DRAM production is a good news for companies like Micron Technology and SK Hynix, who naturally suffer from low prices of DRAM.

The post Samsung reportedly cuts output of standard DRAM, prices may rise first appeared on KitGuru.]]>
https://www.kitguru.net/components/memory/anton-shilov/samsung-reportedly-cuts-output-of-standard-dram-prices-may-increase/feed/ 1
DRAM prices continue to drop despite of looming back-to-school season https://www.kitguru.net/components/memory/anton-shilov/dram-prices-continue-to-drop-despite-of-looming-back-to-school-season/ https://www.kitguru.net/components/memory/anton-shilov/dram-prices-continue-to-drop-despite-of-looming-back-to-school-season/#respond Thu, 09 Jul 2015 08:57:22 +0000 http://www.kitguru.net/?p=258211 Despite of the fact that personal computer makers are now buying dynamic random access memory in a bid to support demand during the back-to-school season, DRAM prices continue to drop. Not only weak demand impacts DRAM prices negatively. All memory makers are transiting to thinner manufacturing technologies and Samsung even introduces new capacities, which means …

The post DRAM prices continue to drop despite of looming back-to-school season first appeared on KitGuru.]]>
Despite of the fact that personal computer makers are now buying dynamic random access memory in a bid to support demand during the back-to-school season, DRAM prices continue to drop. Not only weak demand impacts DRAM prices negatively. All memory makers are transiting to thinner manufacturing technologies and Samsung even introduces new capacities, which means that there will be more DRAM available in the coming months.

“Downside risk to DRAM prices is mounting as inventory levels are rising amid weak set demand,” wrote Romit Shah, an analyst with Nomura Equity Research, in a note to clients, reports Tech Trader Daily.

corsair_dominator_platinum_ddr4

At press time one 4Gb 1600MHz DDR3 chip cost $2.558 on the spot market, down from $2.913 in late May, based on data from DRAMeXchange. Contract price of a 4Gb DDR3 memory chip is around $2.75, whereas a 4GB DDR3 SO-DIMM costs $24.5, around $3 lower than back in May. One 4Gb 2133MHz DDR4 chip costs approximately $3.589 on the spot market.

The situation remains complicated because all memory producers are transiting to 20nm fabrication process, which means that their per-chip costs are declining. Since Samsung Electronics is producing a huge part of its DRAM using 20nm manufacturing technology and has been decreasing prices to gain market share for some time now, other makers will follow with the same tactics, passing their savings to their customers and decreasing quotes.

Moreover, the situation will get even more complicated when Samsung and SK Hynix start to produce computer memory at their new facilities: the Line-17 fab in Hwaseong, South Korea, and the M14 fab at the company’s complex in Icheon, Gyeonggi Province, South Korea.

gskill_trident_z_ddr4_system

Samsung’s Line-17 fab in Hwaseong, South Korea, is capable of producing logic, DRAM and NAND flash memory. The manufacturing facility is capable of 80 thousand of 300mm wafer starts per month. 60 thousand of wafers are expected to be allocated for computer memory. It is expected that by the end of the year the fab will produce around 40 thousand 300mm wafers per month.

SK Hynix’s M14 will start small-scale production in late Q3 or early Q4, 2015. It is expected that it will produce around 10 thousand of 300mm DRAM wafers per month initially.

Micron, with its strict cost control and profit-based strategy, does not have capacity expansion plans for 2015. However, the company is aggressively transitioning to 20nm process technology. Moroever, when two out of three DRAM producers manufacture more memory, prices will inevitably decline because of increased availability.

“In 2H 2015/1H 2016, we see risk that added DRAM capacity from Samsung (Line-17, greatest impact Q3 2015) and SK Hynix (M14) could push out the timeframe for pricing stability to transpire,” wrote Mr. Shah. “Furthermore, supply could grow on 20nm migrations from Micron and SK Hynix in 2H 2015, which also threatens recovery of pricing. Micron’s migration from 30nm to 20nm could yield an incremental ~80% bits/wafer.”

Discuss on our Facebook page, HERE.

KitGuru Says: It is obvious that with sales warning from AMD, rumours that Intel’s sales will meet only the low-end of its expectations and other reports about weak demand for personal computers in particular and consumer electronics in general mean bad news for DRAM makers. Moreover, the situation will get even tougher when Samsung starts to produce computer memory at its colossal manufacturing facility near Pyeongtaek, South Korea, in 2017.

The post DRAM prices continue to drop despite of looming back-to-school season first appeared on KitGuru.]]>
https://www.kitguru.net/components/memory/anton-shilov/dram-prices-continue-to-drop-despite-of-looming-back-to-school-season/feed/ 0
Kingston remains world’s No. 1 memory module supplier https://www.kitguru.net/components/memory/anton-shilov/kingston-remains-worlds-no-1-memory-module-supplier/ https://www.kitguru.net/components/memory/anton-shilov/kingston-remains-worlds-no-1-memory-module-supplier/#comments Sat, 04 Jul 2015 02:02:27 +0000 http://www.kitguru.net/?p=257441 The year 2014 was very favourable for producers of dynamic random access memory as well as for makers of various DRAM modules thanks to rather high prices and stable demand for personal computers and other devices. Kingston Technology remained the top producer of memory modules on the planet with nearly 60 per cent market share. …

The post Kingston remains world’s No. 1 memory module supplier first appeared on KitGuru.]]>
The year 2014 was very favourable for producers of dynamic random access memory as well as for makers of various DRAM modules thanks to rather high prices and stable demand for personal computers and other devices. Kingston Technology remained the top producer of memory modules on the planet with nearly 60 per cent market share.

Global sales of DRAM modules last year totaled $8.8 billion, according to DRAMeXchange, a division of TrendForce and the world’s top memory market tracker. DRAM revenue in 2014 increased by whopping 21 per cent year-over-year. Market growth was primarily conditioned by stable prices as well as the rise of contract transactions relative to spot trades. According to analysts, average selling price of a 4Gb DDR3 memory chip was $3.65 in 2014, a 18 per cent increase over the ASP a year before. The spot market for 2014 had also been strong with the average price of a 4Gb DDR3 IC hanging around $4, a 17 per cent increase compared to 2013.

kingston_hyper_x_black

The top five module makers remained dominant and accounted for 81 per cent of the 2014 gross sales. Moreover, the top ten companies made up 92 per cent of the market revenue for that year.

dramexchange_top_10_module_makers_2014

  • Kingston retained its No. 1 position with 59 per cent revenue share, it took full advantage of increasing contract trades and stable prices, according to DRAMeXchange. Kingston managed to increase sales of DRAM modules by rather whopping 44.69 per cent last year.
  • Ramaxel, which supplies modules to Lenovo Group, followed Kingston at No. 2. The company posted a 13 per cent annual revenue growth.
  • Adata last year slightly changed its strategy and reduced the share of DRAM in its product mix, which is why it dropped to the third position in the global rankings of memory module suppliers.
  • Micron Consumer Products Group, which sells products under Crucial and Micron brands, retained its fourth place last year and increased its sales by 6.2 per cent.
  • Transcend could not take advantage of the market situation and did not increase its sales of DRAM modules in 2014. The company focused on improving profitability and concentrated on industrial memory products. It was the No. 5 supplier of memory modules on the planet last year.

DRAMeXchange believes that with the DRAM spot market shrinking this year, module manufacturers should consider new markets to sustain their revenue growth. Analysts believe that makers of memory modules need to better address the market of industrial and gaming applications.

Discuss on our Facebook page, HERE.

KitGuru Says: In general, the market of memory modules seems to be pretty stable. Given the sizes of top 10 producers of modules, it is unlikely that any newcomers will be able to challenge them. It will be very interesting to see whether to improve their buying power and volume of scale any leading producers of modules will eventually decide to merge.

The post Kingston remains world’s No. 1 memory module supplier first appeared on KitGuru.]]>
https://www.kitguru.net/components/memory/anton-shilov/kingston-remains-worlds-no-1-memory-module-supplier/feed/ 2
Samsung putting pressure on DRAM prices – analyst https://www.kitguru.net/components/memory/anton-shilov/samsung-putting-pressure-on-dram-prices-analyst/ https://www.kitguru.net/components/memory/anton-shilov/samsung-putting-pressure-on-dram-prices-analyst/#comments Sat, 13 Jun 2015 02:42:31 +0000 http://www.kitguru.net/?p=254405 Some market observers believe that prices of dynamic random access memory are about to increase, which will significantly improve profitability of DRAM producers. While this is essentially correct, there are reports that Samsung Electronics is dropping prices of memory in a bid to boost revenues, which could hurt other manufacturers' profit margins. “Two years of …

The post Samsung putting pressure on DRAM prices – analyst first appeared on KitGuru.]]>
Some market observers believe that prices of dynamic random access memory are about to increase, which will significantly improve profitability of DRAM producers. While this is essentially correct, there are reports that Samsung Electronics is dropping prices of memory in a bid to boost revenues, which could hurt other manufacturers' profit margins.

“Two years of firm DRAM prices appears reverting to a lower margin environment, still profitable but materially less so than once believed,” wrote Rick Whittington, an analyst with Drexel Hamilton, in a note to clients, reports Tech Trader Daily.

Samsung is the only producer of DRAM, which makes a substantial portion of its memory using 20nm fabrication technology. Two other major DRAM manufacturers – Micron and SK Hynix – will continue to produce the larger part of their DRAM chips this year using 25nm and 28nm processes. Thinner manufacturing technology allows to make memory ICs [integrated circuits] smaller and cheaper. As a result, Samsung can sell its memory at lower price points without affecting its gross margins.

“Predicated upon a view Samsung’s strategic interests bring willingness to accept lower memory margins, DRAM price drops are liable to continue,” wrote the market observer.

samsung_64gb_tsv_ddr4_dram_module

Although there are only three major makers of DRAM left on the planet – Micron, Samsung and SK Hynix – and prices of memory remained more or less stable for several quarters, they have been decreasing in the recent months because of slow demand for PCs, tablets and other devices.

According to the analyst, Samsung is slashing prices not only on PC-oriented memory, but also on mobile LPDDR DRAM, which hurts other makers. For several years prices of LPDDR memory have been stable, which helped DRAM manufacturers to maintain their margins.

“PC DRAM price weakness has spread to mobile, reducing margins and earnings estimates as Samsung brings process cost drops to customers,” wrote Mr. Whittington.

samsung_lpddr4_mass_production

DRAMeXchange expects the overall value of the global DRAM market to reach $52.3 billion this year, a 13 per cent growth compared to 2014. Samsung has been the world’s biggest memory producer for many years now. The South Korean conglomerate is expected to further strengthen its positions in the DRAM market in the coming years after it completes its giant semiconductor fab near Pyeongtaek, South Korea, which is going to cost $23.6 billion in total.

Samsung did not comment on the news-story.

Discuss on our Facebook page, HERE.

KitGuru Says: If Samsung can easily shrink DRAM margins for other makers today, imagine, what it will be able to do once the colossal manufacturing facility begins operations in 2017.

The post Samsung putting pressure on DRAM prices – analyst first appeared on KitGuru.]]>
https://www.kitguru.net/components/memory/anton-shilov/samsung-putting-pressure-on-dram-prices-analyst/feed/ 4
Samsung to expand DRAM production capacities – report https://www.kitguru.net/components/memory/anton-shilov/samsung-to-expand-dram-production-capacities-report/ https://www.kitguru.net/components/memory/anton-shilov/samsung-to-expand-dram-production-capacities-report/#respond Wed, 28 Jan 2015 07:59:36 +0000 http://www.kitguru.net/?p=232855 Samsung Electronics may want to increase its share of the market of computer memory as it is planning to expand DRAM production capacity, a media report claims. The expansion will unlikely negatively affect prices of dynamic random access memory in the second half of the year, but the fact that Samsung plans an expansion already …

The post Samsung to expand DRAM production capacities – report first appeared on KitGuru.]]>
Samsung Electronics may want to increase its share of the market of computer memory as it is planning to expand DRAM production capacity, a media report claims. The expansion will unlikely negatively affect prices of dynamic random access memory in the second half of the year, but the fact that Samsung plans an expansion already looks alarming.

Samsung’s Line-17 fab in Hwaseong, South Korea, is capable of producing logic, DRAM and NAND flash memory. Previously it was believed that 80 thousand of 300mm wafer starts per month at the Line-17 will be used to make all three types of products. Samsung intended to use 40 thousand wafers to produce DRAM, but recent developments on the market caused the company to reconsider its plans and to allocate 60 thousand of wafers for computer memory, reports DigiTimes web-site.

The reported extra output from Samsung is unlikely to have a significant impact on the overall industry's supply and demand during the year. However, the fact that Samsung wants to expand production capacities in order to improve sales and, possibly, market share indicates that the company is willing to take risks. Other makers could follow Samsung and over time DRAM supply could exceed demand again.

samsung_ddr3_20nm_dram

Samsung’s Line-17 manufacturing facility (also known as Line S3) will not be one of Samsung’s largest fabs and will process only around 80 thousand wafers per month. It will use 20nm fabrication process to make various chips. The fab will be completed later this year.

Samsung did not comment on the news-story.

Discuss on our Facebook page, HERE.

KitGuru Says: The fact that Samsung decided to boost DRAM production at the Line-17 may not be too alarming for the computer memory industry. What could be disturbing is possible production of DRAM at Samsung’s forthcoming fab in Pyeongtaek, a city south of Seoul. That facility will have much higher capacities and will have an influence on the whole industry.

The post Samsung to expand DRAM production capacities – report first appeared on KitGuru.]]>
https://www.kitguru.net/components/memory/anton-shilov/samsung-to-expand-dram-production-capacities-report/feed/ 0
Samsung does not expect computer memory prices to drop next year https://www.kitguru.net/components/memory/anton-shilov/samsung-does-not-expect-computer-memory-prices-to-drop-next-year/ https://www.kitguru.net/components/memory/anton-shilov/samsung-does-not-expect-computer-memory-prices-to-drop-next-year/#comments Tue, 14 Oct 2014 21:43:16 +0000 http://www.kitguru.net/?p=216607 Although Samsung Electronics plans to significantly boost its production capacities in the coming years, the company does not expect prices of dynamic random access memory to drop in 2015. Chief executive officer of the company is confident that DRAM prices will continue to be favourable for manufacturers. “We'll have to wait and see how things …

The post Samsung does not expect computer memory prices to drop next year first appeared on KitGuru.]]>
Although Samsung Electronics plans to significantly boost its production capacities in the coming years, the company does not expect prices of dynamic random access memory to drop in 2015. Chief executive officer of the company is confident that DRAM prices will continue to be favourable for manufacturers.

“We'll have to wait and see how things will go next year, but there definitely will not be any game of chicken,” said Kwon Oh-hyun, chief executive officer of Samsung, reports Reuters news-agency.

Last week Samsung unveiled plans to build a new semiconductor manufacturing facility in South Korea. The fab will be one of the largest in the industry and will cost nearly $15 billion. The factory can be used to manufacture DRAM, application processors for smartphones or tablets as well as other chips.

samsung_ddr3_20nm_dram

Some industry observers are concerned that the addition of the factory will negatively affect prices of computer memory since the fab will create oversupply. Other analysts believe that since the factory will not come online until 2017 it will not affect DRAM pricing in the short-term future.

Manufacturers of memory chips reported strong profits this year since prices of DRAM are fairly high. All memory makers tried to constrain supply of products in order to keep prices at high levels. However, if one of manufacturers significantly increases capacities and supply, DRAM prices will collapse, causing losses for all makers.

Discuss on our Facebook page, HERE.

KitGuru Says: While the head of Samsung naturally expresses confidence regarding DRAM prices, it should be noted that other makers could decide to capture market share from each other and boost supplies of memory. As a result, prices will inevitably fall.

The post Samsung does not expect computer memory prices to drop next year first appeared on KitGuru.]]>
https://www.kitguru.net/components/memory/anton-shilov/samsung-does-not-expect-computer-memory-prices-to-drop-next-year/feed/ 1
DRAM prices begin to increase, says DRAMeXchange https://www.kitguru.net/components/memory/anton-shilov/dram-prices-begin-to-increase-says-dramexchange/ https://www.kitguru.net/components/memory/anton-shilov/dram-prices-begin-to-increase-says-dramexchange/#respond Thu, 07 Aug 2014 22:55:58 +0000 http://www.kitguru.net/?p=206402 Just as expected, prices of dynamic random access memory (DRAM) started to increase in the second half of July as major PC makers and OEMs began to stockpile memory to meet demand for their products during the back-to-school season. In addition to BTS, it is expected that the corporate PC replacement trend will continue in …

The post DRAM prices begin to increase, says DRAMeXchange first appeared on KitGuru.]]>
Just as expected, prices of dynamic random access memory (DRAM) started to increase in the second half of July as major PC makers and OEMs began to stockpile memory to meet demand for their products during the back-to-school season. In addition to BTS, it is expected that the corporate PC replacement trend will continue in the coming quarters further driving demand for memory up.

The average contract price of a 4GB DDR3 memory module in the second half of July increased to $32, or by around 4.92 per-cent since April, May and June, which indicates that the demand for DRAM started to pick up last month, according to DRAMeXchange, a market analyst firm. At press time one 4Gb 1600MHz DDR3 chip cost $4.29, according to DRAMeXchange. The observers predict that computer memory will continue to get more expensive going forward.

kingston_hyperx_predator_2

Four major drivers for DRAM price are noted by the analysts:

  • Back-to-school season and increased demand for personal computers;
  • Corporate PC replacement because of terminated Windows XP support;
  • Apple’s major product refresh (MacBooks, iPad, iPhone, iPod, etc.), which will catalyze makers of memory to reserve portions of their already constrained DRAM capacity for mobile DRAM (LPDDR3);
  • Tight supply of DRAM in general.

“Given there are currently no plans from the DRAM manufacturers to expand on their existing capacity in the second half of 2014 and that many have encountered obstacles while transitioning to the 25nm manufacturing process, future supplies in the DRAM market are likely to remain tight,” the observation from DRAMeXchange reads.

The analysts do not make precise predictions at this point regarding exact prices of 4GB DDR3 memory modules and DDR3 chips. The only thing that is clear is that the prices will go up.

Discuss on our Facebook page, HERE.

KitGuru Says: Keeping in mind that all four factors that drive DRAM prices up will likely persist for several quarters down the road (the BTS will be replaced by the holiday season, which will then be followed by the Chinese New Year), do not expect DRAM to get cheaper for some time. Unless, of course, sales of PCs just collapse for some reason.

The post DRAM prices begin to increase, says DRAMeXchange first appeared on KitGuru.]]>
https://www.kitguru.net/components/memory/anton-shilov/dram-prices-begin-to-increase-says-dramexchange/feed/ 0
DRAM prices to rise by 5% – 10% in the third quarter https://www.kitguru.net/components/memory/anton-shilov/dram-prices-to-rise-by-5-10-in-the-third-quarter/ https://www.kitguru.net/components/memory/anton-shilov/dram-prices-to-rise-by-5-10-in-the-third-quarter/#respond Fri, 04 Jul 2014 22:57:47 +0000 http://www.kitguru.net/?p=201732 Although the price of dynamic random access memory (DRAM) remained rather stable in the recent months, it will increase by 5 – 10 per cent in the third quarter, according to Mark Newman, an analyst with Bernstein Research. Nonetheless, a good news is that the industry will likely move to longer-term pricing, which means that …

The post DRAM prices to rise by 5% – 10% in the third quarter first appeared on KitGuru.]]>
Although the price of dynamic random access memory (DRAM) remained rather stable in the recent months, it will increase by 5 – 10 per cent in the third quarter, according to Mark Newman, an analyst with Bernstein Research. Nonetheless, a good news is that the industry will likely move to longer-term pricing, which means that the market will be more stable.

Contract price for a 4GB DDR3 module was set at $30.5 on average in April and has not changed since then. Moreover, it will remain on that level in the second half of July as well, according to DRAMeXchange. However, spot market DRAM prices have been gradually increasing in the recent months: on Friday the spot price of one 4Gb 1600MHz DDR3 chip was $4.309 at DRAMeXchange, up from $4.126 in mid-May.

PC manufacturers traditionally start to accumulate dynamic random access memory for PCs that will become available during the back-to-school season in June and July, which is when prices will further increase amid growing demand.

“PC DRAM contract prices were reported flat in 2H June and are widely expected to start increasing in July, said Mark Newman in a note to clients today, reports Tech Trader Daily. “The spot price currently is 22% higher than the contract price for 4Gb PC DRAM. We expect a 5%- 10% PC DRAM contract price increase is highly likely in Q3.”
HyperX T1_DDR3_Black_3PK
While the DRAM market will likely become more stable thanks to consolidation of memory manufacturers, actual prices will now depend mostly on suppliers, the analyst believes.

“As the DRAM industry is moving to longer term pricing, pricing is becoming more stable and supplier’s pricing leverage is increasing given the fundamental supply constraints at play,” said Mr. Newman.

Discuss on our Facebook page, HERE.

KitGuru Says: Keeping in mind the increase of corporate PC purchases, actual demand for DRAM may be higher than expected, so the prices will grow more significantly than is currently believed.

The post DRAM prices to rise by 5% – 10% in the third quarter first appeared on KitGuru.]]>
https://www.kitguru.net/components/memory/anton-shilov/dram-prices-to-rise-by-5-10-in-the-third-quarter/feed/ 0
Computer memory prices to remain stable for now, but future is unclear https://www.kitguru.net/components/memory/anton-shilov/computer-memory-prices-to-remain-stable-for-now-but-future-is-unclear/ https://www.kitguru.net/components/memory/anton-shilov/computer-memory-prices-to-remain-stable-for-now-but-future-is-unclear/#respond Wed, 14 May 2014 22:59:55 +0000 http://www.kitguru.net/?p=193286 Despite of expectations that Micron Technology will increase computer memory prices this month because its rivals cannot meet all demand, the actual increases were not significant and average contract prices of DRAM [dynamic random access memory]  in May are projected to remain generally on the same level as in April. Earlier this month it was …

The post Computer memory prices to remain stable for now, but future is unclear first appeared on KitGuru.]]>
Despite of expectations that Micron Technology will increase computer memory prices this month because its rivals cannot meet all demand, the actual increases were not significant and average contract prices of DRAM [dynamic random access memory]  in May are projected to remain generally on the same level as in April.

Earlier this month it was reported that Micron Technology increased contract prices for DRAM for May because of low inventory levels in the supply chain, which was a result of short-supply by other major DRAM producers. Samsung Electronics and SK Hynix reportedly experience problems with shipping enough DRAM chips to their customers due to issues with yields and fab equipment, respectively. It was predicted that a price increase by one of the major DRAM manufacturers would inevitably trigger price hikes across the whole industry. However, so far this has not happened.

Contract price  for a 4GB DDR3 module was set at $30.5 on average in April, according to DRAMeXchange.  According to market sources, the contract price per mainstream 4GB SO-DIMM should drop to below $30 during the off-peak season if production at the major memory chipmakers runs smoothly, reports DigiTimes. However, spot market DRAM prices have been increasing in the recent weeks (at press time a 4Gb 1600MHz DDR3 chip was priced at $4.126 at DRAMeXchange) due to the problems at Samsung and SK Hynix, the web-site notes. As a result, while the contract  prices may not start to increase this month, they can do so later if the two memory manufacturers continue to undersupply.

corsair_vengeance_pro_9

Computer makers usually begin to accumulate dynamic random access memory for PCs that will become available during the back-to-school season in June. If the PC manufacturers and DRAM suppliers feel that there is not enough DRAM on the market, the quotes naturally go higher and continue to grow until PC makers fulfill their demands.

At present it is unknown whether large OEMs consider a conservative or optimistic scenario when it comes to demand for PCs this Fall. Therefore, it is impossible to predict whether their demands will meet existing supply, will be lower than the three major DRAM makers can produce or will be higher than they can ship them. In the latter case the DRAM prices will rapidly grow.

Since mainstream DDR3 memory is used both in PCs and in low-cost media tablets, even drop of demand for the former and rise of demand for the latter will not stop prices from growing amid short-supply.

Micron, SK Hynix and Samsung did not comment on the news-story.

Discuss on our Facebook page, HERE.

KitGuru Says: If you are on the market for a memory upgrade today and not sure whether to buy now or to wait till the DRAM prices drop, then consider buying memory now or in the next few weeks. Starting mid-June PC makers will begin to buy and prices will certainly not drop (unless the cut their orders very sharply), but will either grow or stabilize. On the other hand, later during the year new DDR3 memory chips and modules will arrive and they may easily have better overclocking potential compared to today's offerings…

The post Computer memory prices to remain stable for now, but future is unclear first appeared on KitGuru.]]>
https://www.kitguru.net/components/memory/anton-shilov/computer-memory-prices-to-remain-stable-for-now-but-future-is-unclear/feed/ 0
Far East memory shipments on hold after Hynix explosions https://www.kitguru.net/components/memory/faith/far-east-memory-shipments-on-hold-after-hynix-explosions/ https://www.kitguru.net/components/memory/faith/far-east-memory-shipments-on-hold-after-hynix-explosions/#comments Wed, 04 Sep 2013 12:36:01 +0000 http://www.kitguru.net/?p=150870 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 …

The post Far East memory shipments on hold after Hynix explosions first appeared on KitGuru.]]>
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.

The post Far East memory shipments on hold after Hynix explosions first appeared on KitGuru.]]>
https://www.kitguru.net/components/memory/faith/far-east-memory-shipments-on-hold-after-hynix-explosions/feed/ 8
Hynix FABs on fire after chemical explosion https://www.kitguru.net/components/memory/faith/hynix-fabs-on-fire-after-chemical-explosion/ https://www.kitguru.net/components/memory/faith/hynix-fabs-on-fire-after-chemical-explosion/#comments Wed, 04 Sep 2013 12:04:54 +0000 http://www.kitguru.net/?p=150858 World DRAM prices are set to rocket as news comes in that Hynix FABs 1 and 2 have been engulfed in a ball of flame following a huge chemical explosion. UPDATE: We have just heard that several major memory suppliers have stopped shipments – read more here. Reports are still coming in, but the effects …

The post Hynix FABs on fire after chemical explosion first appeared on KitGuru.]]>
World DRAM prices are set to rocket as news comes in that Hynix FABs 1 and 2 have been engulfed in a ball of flame following a huge chemical explosion.

UPDATE: We have just heard that several major memory suppliers have stopped shipments – read more here.

Reports are still coming in, but the effects are immediate – with memory prices already shooting up by 10% in the first hour after reports started.

This is one of the main factories for nVidia GDDR5 we are told, so expect a major issue for the green team with production and pricing.  That said, As nVidia begin to switch to other sources, so AMD's price for Radeon RAM will also jump up.

Hynix makes 30% of the world's memory in this area, and now it will lose half its production, so world production will drop by 15%.

All figures are approximate – we are getting news/images in from our Far East sources as we type. Without actually being at the plant, there is no way we can verify that these shots are of the Hynix fire itself, but we are seeing the same unattributed shots across a load of technology and general news sites in the region.

At the source - FABs 1 and 2 burn
At the source – FABs 1 and 2 burn
Further away smoke billows at Hynix
Further away smoke billows at Hynix
Even from afar - it's a terrible sight
Even from afar – it's a terrible sight

KitGuru says: We're thankful that no one was killed, but pricing will be crazy now that 15% of the world's production has been switched off indefinitely.

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

The post Hynix FABs on fire after chemical explosion first appeared on KitGuru.]]>
https://www.kitguru.net/components/memory/faith/hynix-fabs-on-fire-after-chemical-explosion/feed/ 20