DRAM contract prices, which saw their first fall for 2012 in early July, have dropped further in the second half of the month, data collected by DRAMeXchange show. This could imply that the DRAM industry is likely to experience a particularly weak third quarter.
Late July contract prices for 2GB and 4GB DDR3 modules averaged US$10.75 and US$19.75, respectively, down about 4.4% and 2.5%. Prices for 4GB parts have fell about 7% in the month, slipping below the US$20 threshold, according to DRAMeXchange.
Average prices for corresponding 2Gb chips came to US$1.08 in the second half of July, down about 2.7%, according to DRAMeXchange. Suppliers which mainly use 4Xnm process technologies to make chips, are unlikely to be able to sustain profitability.
PC OEMs' shipment data still show no signs of a seasonal up-tick driven by back-to-school demand, DRAMeXchange reiterated. The launch of Windows 8 devices is anticipated to stimulate demand, but the release date of the OS is still three months away, DRAMeXchange pointed out.
DRAM contract prices are likely to register another decrease in August, DRAMeXchange predicted.
