Meanwhile, DDR5 Saw 7.26% Increase
The fixed transaction prices of memory semiconductors, DRAM, continued to decline in August. On the other hand, the more premium latest DRAM specification, DDR5, started to see a price rebound.
According to the market research firm DRAM Exchange on Aug. 31, the fixed transaction price for general-purpose PC-oriented DRAM, DDR4 8Gb (1Gx8 2133MHz), was on average US$1.30. This represents a 2.99% decrease compared to the previous month’s price of US$1.34. This marks a continuous drop for the fifth consecutive month since April.
Fixed transaction prices are indicators reflecting the supply-demand scenario in the DRAM market. The DRAM market has been witnessing a stepwise decline for over two years due to an oversupply relative to demand. Market researcher TrendForce commented, “Due to the high inventory of suppliers, the prices of DDR4 products continued to decline.”
However, the latest DRAM specification, DDR5, with a fixed transaction price for 16 Gb (2Gx8) was averaged at US$3.40, an increase of 7.26% from the previous month’s price of US$3.17. It is analyzed that as suppliers took a hard stance in price negotiations, demand-side companies also accepted a slight price increase.
TrendForce further stated, “Demand-side companies are increasing their stock of DDR5 products in anticipation of the price rebound.” They projected that “The fixed transaction prices of DRAM in the fourth quarter will remain stable, but DDR5 might see a slight increase of up to 5%.”
Meanwhile, the fixed transaction price for general-purpose memory cards and USB-oriented NAND flash products (128 Gb 16 Gx8 MLC) in August remained consistent at US$3.82 from the previous month. With demand-side companies refraining from purchasing, trading remains sluggish, and this trend is expected to continue into the next month.