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Tablet/cell Phone Wilting Influence, DRAM Prices Drop Again
- Mar 14, 2018 -

IC Insights released a research report recently, which was affected by the decline in shipments of desktop computers and notebook computers (the two largest applications for DRAM), as well as the shrinking tablet shipments and the slowdown in smart phone growth. DRAM inventory is in surplus, forcing supply. The quotient significantly lowers the average price.

The report said that the average price of DRAM dropped by 16%, together with a 3% drop in unit shipments, it is expected that the total DRAM market will be reduced by 19% in 2016, ranking the lowest in the 33 major IC product categories. The DRAM market has shrunk severely. I am afraid that it will slow the memory down by 11% in 2016, and the overall IC market will also drop by 2%.

IC Insights pointed out that the average price of DRAM began to strengthen at the end of the second quarter of 2016, and is expected to continue to rise in the second half of 2016 and 2017. This is mainly due to the increase in demand for servers for enterprises due to big data analysis. In addition, low-voltage DRAM is also very robust because of the application of mobile platforms, especially smart phones. The launch of the new smart machine is expected to push up DRAM prices in the second half of this year and next year.

However, IC Insights warns that the rising trend of DRAM average price may only appear briefly because there are two companies in mainland China planning to enter the market by the end of 2017 or early 2018. The two DRAM factories are respectively former presidents of Elpida. The Sino King co-founded with the Hefei City Government and Fujian Jinhua IC.

The Nikkei once stated on March 11 that Siu Kee will be responsible for chip design by the Japanese and Taiwanese will be responsible for mass production technology. The factory operation will be determined by the foundry of the new company that will be established by the Hefei government in the near future. Form responsibility, that is, will integrate Taiwan, Japan's technical staff and China's funds, the formation of "Taiwan-Japan alliance" in the next generation of memory against Samsung Electronics.


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