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December 26, 2005
DRAM Contract Prices Stay Flat in 2HDec but Chipmakers are Joyful about Potential Rebound, DRAMeXchange Says
DRAMeXchange foresees some DRAM makers should continue quoting DDR2 at a lower rate than DDR in order to encourage DDR2 sales. As chipmakers vary among each other on respective DDR/ DDR2 production ratio with relative customers demand also varies at the meantime, the quotes for DDR and DDR2 should report with slight difference among players.
(PRWEB) December 24, 2005 -- Although DRAM makers attempted to propose slight DRAM contract price raise in 2HDec with reference to the hike of recent spot prices and solid customers demand, they were disappointed by the final quotes with most prices were settled flat. Of which, one Germany and Taiwan based chipmaker stood firm on respective quotations and related contract price negotiations should be delayed to Christmas eve.
DRAM contract prices start trending down from September with the drop of DDR module reaches 22% and DDR2 reaches 32%. DRAM makers force to reshuffle capacity allocation and product mixture amid the severe price drop pressures, as evident in the DRAM supply bit growth that was trimmed down to 2.65% in November, versus the 10% sequential bit growth that records during September and October.
US-based PC OEMs usually see a massive drop of DRAM inventory levels in December along with the seasonality impact with DRAM contract prices should drop in a relatively large rate along with the demand drop. The scenario swings this year with contract prices keep staying stable, thanks to the previous DRAM price drops. This implies contract prices should bottom out with a price rebounding chance about to emerge.
A majority of DDR and DDR2 modules, no matter for the desktop or notebook segments, stay flat in 2HDec with modules for servers even enjoy growth. Most DRAM makers are optimistic about the price trend for the next update and project price raise.
DRAMeXchange foresees some DRAM makers should continue quoting DDR2 at a lower rate than DDR in order to encourage DDR2 sales. As chipmakers vary among each other on respective DDR/ DDR2 production ratio with relative customers demand also varies at the meantime, the quotes for DDR and DDR2 should report with slight difference among players.
For detail DRAM and NAND Flash spot price records, please visit: www.dramexchange.com
Contact:
Jocelyn Chen
DRAMeXchange
Tel: +886-2- 77026888 ext 620
Fax: +886-2-7702-6989
About DRAMeXchange:
DRAMeXchange is a global primary provider of futures intelligence, in-depth analysis reports and advisory services on DRAM and flash memory industry with coverage including current business, spot trading prices, and market trends, capital spending and wafer capacity trends, the impact of DRAM/flash memory products on the market, and other relevant PC industry information.
Founded in 2000, DRAMeXchange serves more than 45, 00 clients, including main information officers and other senior IT executives in corporations, as well as technology firms and the investment community. DRAMeXchange helps IT professionals, business executives, and the investment communities make fact-based decisions on memory purchases and business strategy. For more information, visit www.dramexchange.com
Posted by Industrial-Manufacturing at December 26, 2005 03:57 AM