Spot Price for 64MB DRAMs Sinks Below $US6

The spot market price for 64MB, PC133 DRAM (dynamic random access memory) chips dropped around 10 per cent Thursday. In one of the steepest one-day declines seen recently, by the end of the day 64MB, PC133 DRAMs were selling at an average of $US5.61 per chip, according to the American IC Exchange (AICE), an online exchange for memory chips and other semiconductor devices.

From a high of $US8.91 reached during June, the price began falling in mid-July to settle at around $US8.50 before rapidly heading south during a six day period beginning September 13, when the price dropped from $US8.25 to $US6.85.

As the price for the chips fell, so did pricing for memory modules containing the chips. According to AICE, the price of 128MB PC133 modules dropped 13 per cent Thursday to $US98.80 per module, down from $US146 per module in July and below the $US100 mark for the first time since May.

"It's going to be painful [for the DRAM makers]," said Eric Ross, vice president of semiconductor research at Thomas Weisel Partners. Despite the downward pricing trend, however, optimism still reigns in the industry, Ross said. "Major DRAM manufacturers are all speaking about how the demand seems to be very good and they are expecting to see the DRAM price increase."

Earlier this month, Tokumasa Yasui, executive vice president of Elpida Memory, the new joint venture DRAM maker formed by NEC and Hitachi said he expects to see the market improving soon. "Maybe the market direction will be clear in October. I think in October or November prices will increase," Yasui said.

Most of the DRAM makers are betting on prices rising as seasonal orders for memory chips are received. So far, however, much of this demand has not surfaced yet.

"Generally, what happens in a normal year is that you'd see the back to school PCs being built in September [for the northern hemisphere market] and components bought for them in July and August," said Ross. "Then there's December, which is a bigger season. They are expecting to see DRAM bought in time for December but we have not yet seen the big buy yet."

Join the PC World newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Martyn Williams

PC World
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Matthew Stivala

HP OfficeJet 250 Mobile Printer

The HP OfficeJet 250 Mobile Printer is a great device that fits perfectly into my fast paced and mobile lifestyle. My first impression of the printer itself was how incredibly compact and sleek the device was.

Armand Abogado

HP OfficeJet 250 Mobile Printer

Wireless printing from my iPhone was also a handy feature, the whole experience was quick and seamless with no setup requirements - accessed through the default iOS printing menu options.

Azadeh Williams

HP OfficeJet Pro 8730

A smarter way to print for busy small business owners, combining speedy printing with scanning and copying, making it easier to produce high quality documents and images at a touch of a button.

Andrew Grant

HP OfficeJet Pro 8730

I've had a multifunction printer in the office going on 10 years now. It was a neat bit of kit back in the day -- print, copy, scan, fax -- when printing over WiFi felt a bit like magic. It’s seen better days though and an upgrade’s well overdue. This HP OfficeJet Pro 8730 looks like it ticks all the same boxes: print, copy, scan, and fax. (Really? Does anyone fax anything any more? I guess it's good to know the facility’s there, just in case.) Printing over WiFi is more-or- less standard these days.

Ed Dawson

HP OfficeJet Pro 8730

As a freelance writer who is always on the go, I like my technology to be both efficient and effective so I can do my job well. The HP OfficeJet Pro 8730 Inkjet Printer ticks all the boxes in terms of form factor, performance and user interface.

Michael Hargreaves

Windows 10 for Business / Dell XPS 13

I’d happily recommend this touchscreen laptop and Windows 10 as a great way to get serious work done at a desk or on the road.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?