DRAMeXchange forecasts DRAM 2HJul contract prices going up by 5%

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2007-07-18 08:32

Taipei--(뉴스와이어)--Last week, the weaker trading in the DRAM spot market caused prices to slightly drop. Module houses and retailers were uninterested in increasing their inventory, as the market waits to see if more price increases may occur. In the contract market, DRAMeXchange holds an upbeat outlook, expecting prices to increase by 5% in 2HJul. Moreover, DRAM makers are expected to reap strong profits if they successfully boost the output of 70nm DDR2 1Gb chips.

Compared to the previous two weeks, the weaker trading in the DRAM spot market caused prices to slightly drop. The DDR2 eTT chip fell 1.81% to USD2.17, while the branded DDR2 512Mb 64M*8 slipped 2.61% to USD2.24.

According to DRAMeXchange’s survey, one of the reasons behind the decreased market demand stemmed from consumers holding off purchases until Intel’s upcoming CPU price cuts in 2HJul. In addition, with the DRAM spot price already exceeding the contract price last month, there was little incentive for further price increases. Module houses have instead focused in removing their older product inventory to boost profits. The current pricing levels have generally left retailers and module houses uninterested in increasing their inventory. On a different note, amid the DRAM contract price hike in early July, the DDR2 512Mb chip price has jumped past the USD2 level. Trading has slowed, as the market waits to see if more contract price increases may occur, which may in turn stimulate more spot market transactions.

In the contract market, the upward climb in prices has driven up the DDR2 667 512MB UDIMM by more than 16%in 1HJul. OEM orders remain stable, and show no signs of declining as prices go up. For the contract market in 2HJul, DRAMeXchange holds an upbeat outlook, expecting prices to increase by 5%, while DRAM manufacturers predict the DDR2 667MHz 512MB UDIMM/SODIMM and DDR2 667 512Mb to respectively hit roughly USD20~21 and USD2.2. DRAM makers are expected to reap strong profits if they successfully boost the output of 70nm DDR2 1Gb chips.

About DRAMeXchange

DRAMeXchange is a global leading provider of market intelligence, in-depth analysis reports and consultant services on major electronics components. Our company consists of 2 major research divisions---DRAMeXchange and WitsView, which cover the DRAM, NAND Flash, PC and display research sectors. You can learn more about DRAMeXchange by visiting www.dramexchange.com.

In the year 2000, the company started to deliver market intelligence services under the name of DRAMeXchange technology. This included the current business environment, real-time spot trading prices, market trends, capital spending and wafer capacity trends, the impact of DRAM/flash memory products on the market, and other relevant PC industry information.

To further expand its research, DRAMeXchange acquired LCD research institute WitsView in 2006 to provide insights on the display industry.

About WitsView

WitsView is a subsidiary brand of DRAMeXchange, which provides prompt and credible market insights covering the quantitative pricing trend for both TFT-LCD panels and finished goods, industry updates and market intelligence. Founded in 2004, WitsView Technology Corporation is made up of a group of sophisticated industry analysts with years of experience, providing objective and strategic insights on the display industry. Additional information can be found at www.witsview.com.

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