Transcend Bemoans High Priced DRAM

Paul Lilly

You better stock up on Dramamine if you intend to follow the volatile DRAM market, which has had more ups and downs than Nicholas Cage's career. Should you buy now or wait a month? That's always the question, and making matters even more confuzzling, the answer often depends on who you ask.

Transcend chairman Peter Su, for example, says that DRAM chip prices are too high right now, and one of the keys to pushing new devices to the end market will be lowering DRAM parts to below $2. At the same time, Su notes that chip vendors, module makers, and consumers all seem content with current NAND flash prices. Go figure.

According to Su, both DRAM and NAND flash chip pricing is expected to rise in the second half of 2010, even though he thinks they're too high already. This, he says, will negatively impact the demand for devices with embedded memory, which is everything from smartphones to digital cameras, MP3 players to handheld consoles, and more.

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