Several DRAM makers are said to slash prices for their 512Mbit DDR2 chips in a move to spur demand and clear out the inventory, according to a news source in Taiwan.

Spot prices for the 512Mbit DDR2 have hit the new low to US$3, down from US$3.5 before, according to research firm InSpectrum.

On the other hand, major DRAM makers such as Samsung Electronics, Hynix Semiconductor, Infineon Technologies and Micron Technology have migrated part of their capacity to produce non-standard DRAMs such as NAND flash and specialty DRAM, as they do not think it likely that DDR2 acceptance will significantly increase next quarter, the sources said.

Analysts hold the viewpoint that DDR2 prices will continue falling in the near future, as DRAM buyers will be cautious in buying parts since DDR2 supported chipset supply from Intel is still unstable.

By: DocMemory
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