Monday, May 8, 2006
DRAM makers are bullish about the price growth momentum of DDR amid strong demand from emerging markets, according to industry players.
Contract prices of 512MB DDR are expected to grow by about 6% to US$40 in the first half of May, the players estimate.
Despite the rise of DDR2 as mainstream memory, PC OEMs’ demand for DDR remains solid because of the demand from emerging markets. The capacity transition to DDR2 has reduced DDR output and this has supported the price level, the players explained.
Prices of 512MB DDR2 modules are expected to stay flat in the same period, thanks to the observed pick up in demand from the spot market, the players noted. Although final price negotiation has not been settled, industry players observe that DRAM makers are holding firm on their quotations and are reluctant to lower prices.
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