Nanya Technology predicts that the DDR2 shortage should increase to 30-40% in February that in turn would cause the contract prices to grow more than 10%, according to the company spokesperson.

Although DDR2 penetration rates among PC OEMs are picking up rapidly, DRAM makers are not keeping up with the strong demand growth. As a result, the market should expect more shorage of DDR2 in February, the company noted.

DRAM module makers added that they are currently scrambling to source DDR2 from memory makers, as customers are fully booking the module makers capacity in anticipation of the Chinese New Year holiday. The module makers expect DDR2 supply to run short of demand through the rest of this quarter.

By: DocMemory
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