DRAM MAKER Micron has said that it has no plans to expand its DRAM production capacity in 2010.
According to Digitimes, Micron has a cunning plan to focus on process geometry shrinks to strengthen its competitiveness in the DRAM market.
The move is similar to one recently announced by Oh-Hyun Kwon, the head of Samsung's chip division. He said that DRAM makers would be barking to commit blindly to aggressive capacity expansion projects. It is far better to spend money elevating technological levels, he said.
DRAM chipmakers are still recovering from 2007 into 2009 when they spent massively on new equipment and fabs during those two years.
There are fears that the desktop PC market could stagnate and with cloud computing looming, consumption of DRAM used mainly in traditional PCs might contract in the long run. µ
Finally a smart move for the industry..about time to have a shortage and finally some profits.. sue them for not expanding capacity? .
If you look on the nets, first gen DDR is selling at a premium. There are millions of computer still trying to handle memory hogging web and anti-virus apps with merely 256MB. And the same goes especially for SDRAM. People could double their computer performance for $10 if the memory makes would provide capacities at DDR2/3 costs.