Memory prices will plummet in the second half of the year

Market research firm IHS iSuppli today released a report saying that the price of DRAM memory chips will fall sharply in the second half of 2011, and the third and fourth quarters will not be able to escape this fate.

In the second quarter of this year, the average quoted price of 2Gb DDR3 DRAM chips was 2.10 US dollars, only 5% lower than the first quarter, and by the third quarter, this price will suddenly drop to 1.60 US dollars, a drop of 24%. . This is not yet finished. In the fourth quarter, there will be another 24% fall, leaving only 1.25 US dollars.

In the third quarter of 2010, 2Gb DDR3 particles were quoted as high as $4.70.

IHS iSuppli expects shipments of DRAM particles to grow by up to 15.9% in the third quarter of this year. DRAM makers attribute this to two factors. One is that it is too large to digest, and the other is the transition to new processes. For example, the inventory in Taiwan's South Asia is up to 30 days, and the yield of 38nm process of Hynix in South Korea is very low.