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DRAM module prices plummet
WHOLESALE MEMORY PRICES took a sharp dive last week as panic selling by memory manufacturers dumping their inventory stocks took hold.
The price for 1GB DDR3 modules dropped eight per cent to $1.57 while the price of 1GB DDR2 modules fell two per cent to $1.65. 2GB DDR3 modules also suffered a decline of six per cent. Analyst outfit Inspectrum said that these price declines were caused by "alarmed industry players in the spot market".
Elpida, a major DRAM manufacturer, announced that it will cut production, possibly in a bid to stabilise prices, however analysts could also interpret this as a sign of a weak demand, ensuring that any price recovery will be slow.
Inspectrum reported that some memory traders have shifted their attention to DDR2, a legacy product, in order to overcome weak demand for DDR3 modules. The price of DDR3 modules is expected to fall further by the end of the year, as the analyst outfit predicted a staggering 30 per cent drop in the fourth quarter of 2010.
These prices are what companies such as Corsair, Kingston, OCZ and Mushkin pay for modules. DRAM prices are always volatile and, unlike most other components, the savings made these firms that buy memory modules in bulk are generally passed on to the customer.
This might mean that, come 2011, there could be a belated Christmas present waiting for consumers looking to upgrade the amount of RAM in their systems. µ
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Plunged 8%...lol, i think the author of this story is getting a little loose with the fire sale references lol, anything upto 20% less is pretty standard.
Have you actually *looked* recently?
I just looked up a single 4GB DIMM of DDR3-1333 on Newegg, and the cheapest I could find was USD 61. Thats the equivalent of GBP 38; add VAT and you get GBP 45. Looked up the cheapest equivalent on ebuyer, and its about the same, at GBP 47.
So: firstly, DDR3 is *much* cheaper now, since it was double that a couple of months ago; secondly, rip-off britain for once isnt living up to its name.
Youre entirely welcome.
Well, to start ram chips are usually rated per BIT not per byte. So, a 1Gb chip translates in "everyday's" 128 MB. Therefore you need 8 of those chip to get to 1GB, so the cost will be 8 times 1.57$, 12.56$. For 4GB, multiply that by 4 (assuming you can live with four 1 Gb sticks) and we're in the 50$ ballpark. That's for the ram chips only. Add 4 PCBs, a few discrete components, the logic chips and (of course!) the revenue for dimm makers, dimm resellers and taxes. That's how you get to your 85 quids price.
Furthermore, chips prices are NOT in direct relation to their capacity. That is, a 2Gb chip may be cheaper or more expensive than 2x1Gb chips. It depends on the market. I'd say (but it's just my 0.02€) that nowadays 1Gb chips should be LESS expensive than half the price of a 2Gb chip or than a quarter of a 4Gb chip (an so on...) because people are shifting towards a larger memory size; and nobody wants all slots filled, innit?
These modules cost $2 dollars per gig yet to buy , 4 GB of ram is £85? someone care to explain that??HTNCB
I see below the article links to several other articles over the past 6 months stating the constant plunge of DRAM prices.
Ermm so when is it going to actually happen?
I call BS on this and wish the journos would stop making this shit up.
Write some proper articles about stuff thats really happening.
"spot price for 1Gb DDR3 plunged 8% to US$1.57 "
I got it right with Gb.
I'd certainly take a few thousand of those 1GB off you though.
"there could be a belated Christmas present waiting for consumers looking to upgrade the amount of RAM in their systems" ... unless you want DRAM upgrades from Apple, of course.