Prices for 2Gb DDR3 memory continue trending down to average near US$2, with those in the low range arriving at US$1.90, according to market sources.

In anticipation of continued price declines through year-end 2010, the sources believe that the trend will encourage PC vendors to raise memory content per box in their products to 4GB. As soon as 2Gb DDR3 prices average below US$2 and begin to stabilize, the favorable price level will accelerate the transition from 2GB to 4GB as the mainstream memory density in PCs, the sources expect.

Samsung Electronics and Hynix Semiconductor are already in mass production of 2Gb products using their 40nm-class node processes. Both plan to advance to 30nm-class processing by year-end 2010 lowering production costs for the chips, the sources noted.

Elpida Memory and its subsidiary Rexchip Electronics have also begun to produce 2Gb DDR3 chips using 45nm, the sources said. Along with output growth at Nanya Technology and Inotera Memories, the increased supply has pushed the market to further levels of oversupply, the sources added.

With improved yield rates on 50nm stack, Nanya and Inotera are scaling up their production for 2Gb DDR3. Both firms are gearing up to ramp chip production using 42nm in 2011.

By: DocMemory
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