Memory Makers Limit Supply, Push DRAM Pricing Up
It's been a wild downward ride in the memory market these past twelve or so months, one in which DRAM makers are more than eager reverse course. And that's exactly what's happening. According to data gathered by DRAMeXchange, DRAM contract prices have climbed in the second half of April. The data shows that prices of 1GB DDR2-667 DIMMs has gone up $9 and 2GB DDR2 $18, representing a 6 to 11 percent gain.
And this is just the beginning, says DRAMeXchange. Citing un-named market sources, the firm says Elpida Memory will most likely discontinue shipments to the spot market, while both Powerchip Semiconductor Corporation (PSC) and Kingston also plan to limit their shipments, at least until June. This could prove to be significant, as Elpida and PSC account for almost 60 percent of the sport market. Elpida's goal is to raise quotes by as much as 50 percent.
But before you panic and stock up on all the RAM you can afford, DRAMeXchange predicts DRAM spot prices will only increase to a range of $1.20 to $1.50, up from $1 to $1.20. This means DDR2 modules will probably go up, but not by as much as Elpida (and other DRAM makers) are hoping.