News
Memory prices tumble as DDR2 costs hit rock bottom
Mark Sutton Nov 13 2007, 10:43am
Comments (1)
However, vendors predict upturn in price as they prepare to hold back stock to push up prices as it hits $1.06
Since January prices for 512Mb DDR2-667 have shrunk by up to 80 per cent. At the start of the year DRAMeXchange listed the price of DDR2-667 as $6.32, whereas the price on November 12th closed at $1.06.
It is predicted that a resurgence in prices is imminent, with many chipmakers refusing to run at below cost for long. Leading suppliers halted dumping excess stock to downstream channels following Apples increased procurement of NAND flash in recent months, which according to Transcend chairman, Peter Su, has culminated in a trim in corresponding inventory, explains tech website Digitimes.
Although margins are likely to drop further through the fourth quarter, profitability should stay at reasonable levels. Throughout the third quarter gross margin was reported to be around the 12.2 per cent mark.
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Comments
“When does this filter though?”
Posted by: Kenny - Nov 13, 2:57pm
$1.06 for 512Mb DDR2-667. So why am I still paying the equivilant of $19 for this. How long does it take for this low price to filter down, or are my suppliers just ripping me off?