Prices of DRAM expected to stabilize, NAND to fall

March 08, 2013

After multiple years of double-digit drops, prices for DRAM could stabilize as demand exceeds supply and the number of memory makers dwindles, a research analyst for IC Insights said this week. The average selling price for DRAM in January jumped by about 13 percent compared to January 2012. That’s a sign that prices could stabilize or even increase over this year after incessant price drops over the last few years, said Brian Matas, vice president for market research at IC Insights. “The DRAM market is extremely volatile. If it just gets a little bit where there is more demand than supply, then prices skyrocket,” Matas said. DRAM demand weakened over the last three years, partly hurt by the slowdown in demand for PCs. Memory makers have been spending less on capital equipment and the output of memory has declined to meet the slowdown in demand. As the market adjusts, it is likely that supply will fall to the point where demand is higher, resulting in price stabilization.To read this article in full or to leave a comment, please click here

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