Samsung Chief 's Oh-Hyun Kwon said The market for DRAM is likely to enter a state of oversupply later in the third quarter

Kwon pointed out that total DRAM output worldwide will certainly grow sequentially in the third quarter, as suppliers ramp up their production using more advanced processes. However, if PC sales continue to slow, the DRAM sector will see an oversupply through the first quarter of 2011, according to Kwon.

Kwon expressed more optimism about the NAND flash business, indicating prices for the memory would trend down at a slower pace and stabilize later in the second half of 2010. Unlike DRAM that is closely related to PC products, Kwon believes NAND flash memory will continue to be driven by mobile devices such as smartphones and tablet PCs, and grow its penetration in emerging applications.

Compared to the PC market, the consumer electronics sector has a better outlook, Kwon pointed out.

Samsung is looking to volume produce DRAM products using 35nm technology later in 2010, Kwon said. As for NAND flash, Samsung expects to migrate to 20nm-class process technology in 2011.