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June 15, 2007

Good time for a memory upgrade

Michael Kanellos from CNET reports that a price war among memory manufacturers has lead to a precipitous drop in prices which is good news for consumers planning an upgrade:

Alarming price declines in some types of semiconductors have sucked the revenue growth out of the industry for 2007.

The average selling price of DRAM, the type of memory used in PCs, dropped 33 percent from December to April. Flash memory prices have declined by 35 percent, year over year, yet shipments have gone up 54 percent.

“This is inordinate,” said George Scalise, president of the SIA, in an interview on Thursday. Ordinarily, prices might decline by 20 percent or so in a year. “This comes at a time with a lot of demand, which is what makes it so unusual.”

The declines appear to be caused by companies seeking market share at the expense of profits.

All of which is great for folks planning to buy new or additional PC memory or a flash drive. Supplies are expected to tighten up in the 2nd half of the year, so if you have been thinking about buying memory, now is the time.

Posted at 9:17 pm. Filed under Bargains, DRAM, Flash, Memory

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