Specialty DRAM in Tight Supply, Prices Likely to Climb

Strong demand for consumer electronics such as TVs, smartphones, and tablets are squeezing 512 Mb DDR and 1 Gb DDR2 memory chips into tight supply. Production cutbacks that were encouraged by oversupply in recent quarters add to a scenario in which memory prices could be seeing an upward spike.

According to Digitimes, DRAM manufacturers were able to gradually compensate a decline in memory demand in the PC sector with increasing demand from consumer electronics.

The publication's sources stated that 512Mb DDR parts primarily used for TVs, set-top box and networking applications will especially be in short supply and that the shortage is likely to "persist through March," when production will have caught up with the market.

The 1 Gb DDR2 shortage is apparently related to manufacturing transitions as production is shifting and some major suppliers are no longer manufacturing this memory type. According to Digitimes, Hynix Semiconductor is the world's largest supplier of specialty DRAM memory.

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  • fuxxnuts
    ***News Flash***

    This just in: DRAM manufacturers say that the price hike was the fault of one British employee
    17
  • internetlad
    call 2005, it's got serious troubles ahead!
    16
  • pensivevulcan
    So why don't they just transition to newer more power-efficient DDR3 and maybe just slightly augment their prices to compensate? Worthy trade-off no?
    Using DDR in 2012 seems a tadd absurd to me, unless I am missing something...
    11
  • Other Comments
  • internetlad
    call 2005, it's got serious troubles ahead!
    16
  • pensivevulcan
    So why don't they just transition to newer more power-efficient DDR3 and maybe just slightly augment their prices to compensate? Worthy trade-off no?
    Using DDR in 2012 seems a tadd absurd to me, unless I am missing something...
    11
  • balister
    pensivevulcanSo why don't they just transition to newer more power-efficient DDR3 and maybe just slightly augment their prices to compensate? Worthy trade-off no?Using DDR in 2012 seems a tadd absurd to me, unless I am missing something...


    You are missing something. While consumers try to keep up, businesses and organizations like to use known trusted items before they move forward. As such, a lot of hardware for an organization typically lags behind what consumers are using because it known to be reliable where as newer hardware has not had that burn in time. Thus, older hardware is preferable to newer because it's been thoroughly tested.
    3