Prices of dynamic random access memory (DRAM) chips have taken a downward trend since the new year began, according to market watchers.

However, the drop in prices is not as steep as expected earlier, and it is unlikely that the profitability of Samsung Electronics or SK Hynix Inc. will be significantly affected.

According to market researcher Dramexhcange (dreamexchange.com) Wednesday, the fixed price of DDR3 2Gb 256Mx8 1333MHz chips, the standard in setting the price of DRAMs, came to $1.81 in the second half of March, down 8.1 percent from the $1.97 a year earlier.

DRAM prices fell 3.1 percent in the first half of January and slipped another 1.6 to 2.1 percent in the February-March period.

While the current price is an increase of 38.1 percent compared to the end of March last year ($1.31), it looks clear that the upward trend in price that started in the second quarter of last year has been reversed since the year end.

DRAM prices hit near bottom in 2012 when they hovered between $0.80 to 1.17 but showed a record increase of 13.6 to 18.5 percent in February and March last year.

Dramexchnage assessed the Dram prices to have continued slow start in the first quarter. The research company said that intensely competitive pricing was not detected as the market was being reorganized into an oligopoly since the merger of U.S. Micron Technology Inc. and Japan’s Elpida Memory Inc. and the withdrawal of some Taiwanese firms.

The strengthened negotiation power among semiconductor companies is also interpreted as one of the factors that prevented a sharp drop in DRAM prices.

DRAM prices are expected to fall 5 to 8 percent after the second quarter, Dramexchange projected.

By: DocMemory
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