"The laws of botched supply and demand forecasting are coming home to roost for the semiconductor industry in 2019 with DRAM average sales price set to fall 42.1 per cent.
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"A weaker pricing environment for memory and some other chip types combined with the US-China trade dispute and lower growth in major applications, including smartphones, servers and PCs is driving the global semiconductor market to its lowest growth level since 2009," said Gartner analyst Ben Lee." Source[theregister.co.uk]
"The laws of botched supply and demand forecasting are coming home to roost for the semiconductor industry in 2019 with DRAM average sales price set to fall 42.1 per cent.
...
"A weaker pricing environment for memory and some other chip types combined with the US-China trade dispute and lower growth in major applications, including smartphones, servers and PCs is driving the global semiconductor market to its lowest growth level since 2009," said Gartner analyst Ben Lee." Source[theregister.co.uk]
It's not botched. Supply and demand is working perfectly. DDR4 RAM is cheap because companies increased their production due to demand. Now supply has met or exceeded demand, so prices are dropping.
It's not botched. Supply and demand is working perfectly. DDR4 RAM is cheap because companies increased their production due to demand. Now supply has met or exceeded demand, so prices are dropping.
Think the supply part was manipulated is what he/she was pointing out.
Think the supply part was manipulated is what he/she was pointing out.
I heard accusations swirling around that they kept supply low a few years ago...not really sure what came of those accusations or if there were fines or lawsuits that were filed and won over it. Either way, the free falling DRAM prices indicates that there isn't any sort of collusion anymore.
so S. Korea/ Japan dispute won't rock the boat? That would be good news since ddr5 is set to be released by next year. Density and technology changes are setting prices. Ram has been at low density while every other memory skyrocketed to the moon on speed or density so it's time the consumer win one. There is one potential benefit of the US trade dispute and that being production won't be tied to one country in materials or mfg if they know what's good for them. Right now we see ALOT of nervous cheating going on (oh, no this want made or shipped from china-- yeah right...) in supply side which is lowering prices in the short term. Let's be optimistic it's a trend that will last.
Whatever's happening, whether natural supply and demand, some kind of production control to manipulate prices, etc, etc. this memory was $180 a few months ago, on sale, and it's roughly 30% lower today. Perfect timing for building a Ryzen Zen2 system.
I was running Ballistix in my Extreme4 Z87 for many years, bought 11/23/2013, just upgraded 2 days ago and this new stuff works just as expected.
It it gonna go lower? I didn't even update to DDR4 yet because my CPU and SSD are the bottlenecks still. DDR5 should be even better, can't believe I'll skip a ram generation!
"A weaker pricing environment for memory and some other chip types combined with the US-China trade dispute and lower growth in major applications, including smartphones, servers and PCs is driving the global semiconductor market to its lowest growth level since 2009"
...
"Smartphones sales are touted to fall 3.3 per cent to 2.2 billion units this year – the steepest recorded drop in their history. Traditional desktops and notebooks are forecast to drop to 187.2 million from 195.3 million last year. As for servers, the big cloud providers have put spending on pause.
The upshot of this is that global semiconductor revenues are expected to drop 9.6 per cent year-on-year to $475bn. This is down 3.4 per cent on Gartner's earlier forecast and likely could be revised again before the end of 2019 is upon us.
Given the volumes of DRAM swilling around the supply chain that have forced down price, oversupply is on track to spill into the first and second quarters of the next calendar year."
It's not botched. Supply and demand is working perfectly. DDR4 RAM is cheap because companies increased their production due to demand. Now supply has met or exceeded demand, so prices are dropping.
"A weaker pricing environment for memory and some other chip types combined with the US-China trade dispute and lower growth in major applications, including smartphones, servers and PCs is driving the global semiconductor market to its lowest growth level since 2009"
...
"Smartphones sales are touted to fall 3.3 per cent to 2.2 billion units this year – the steepest recorded drop in their history. Traditional desktops and notebooks are forecast to drop to 187.2 million from 195.3 million last year. As for servers, the big cloud providers have put spending on pause.
The upshot of this is that global semiconductor revenues are expected to drop 9.6 per cent year-on-year to $475bn. This is down 3.4 per cent on Gartner's earlier forecast and likely could be revised again before the end of 2019 is upon us.
Given the volumes of DRAM swilling around the supply chain that have forced down price, oversupply is on track to spill into the first and second quarters of the next calendar year."
DRAM market always fluctuates. Good luck trying to find the perfect time to buy, no matter what articles you read on predictions. If you wait long enough, you can get it 2nd hand on ebay for cheaper too.
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"A weaker pricing environment for memory and some other chip types combined with the US-China trade dispute and lower growth in major applications, including smartphones, servers and PCs is driving the global semiconductor market to its lowest growth level since 2009," said Gartner analyst Ben Lee." Source [theregister.co.uk]
...
"A weaker pricing environment for memory and some other chip types combined with the US-China trade dispute and lower growth in major applications, including smartphones, servers and PCs is driving the global semiconductor market to its lowest growth level since 2009," said Gartner analyst Ben Lee." Source [theregister.co.uk]
Think the supply part was manipulated is what he/she was pointing out.
I was running Ballistix in my Extreme4 Z87 for many years, bought 11/23/2013, just upgraded 2 days ago and this new stuff works just as expected.
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Price dropping because...?
"A weaker pricing environment for memory and some other chip types combined with the US-China trade dispute and lower growth in major applications, including smartphones, servers and PCs is driving the global semiconductor market to its lowest growth level since 2009"
...
"Smartphones sales are touted to fall 3.3 per cent to 2.2 billion units this year – the steepest recorded drop in their history. Traditional desktops and notebooks are forecast to drop to 187.2 million from 195.3 million last year. As for servers, the big cloud providers have put spending on pause.
The upshot of this is that global semiconductor revenues are expected to drop 9.6 per cent year-on-year to $475bn. This is down 3.4 per cent on Gartner's earlier forecast and likely could be revised again before the end of 2019 is upon us.
Given the volumes of DRAM swilling around the supply chain that have forced down price, oversupply is on track to spill into the first and second quarters of the next calendar year."
Exact same scenario as suv production in the usa!
"A weaker pricing environment for memory and some other chip types combined with the US-China trade dispute and lower growth in major applications, including smartphones, servers and PCs is driving the global semiconductor market to its lowest growth level since 2009"
...
"Smartphones sales are touted to fall 3.3 per cent to 2.2 billion units this year – the steepest recorded drop in their history. Traditional desktops and notebooks are forecast to drop to 187.2 million from 195.3 million last year. As for servers, the big cloud providers have put spending on pause.
The upshot of this is that global semiconductor revenues are expected to drop 9.6 per cent year-on-year to $475bn. This is down 3.4 per cent on Gartner's earlier forecast and likely could be revised again before the end of 2019 is upon us.
Given the volumes of DRAM swilling around the supply chain that have forced down price, oversupply is on track to spill into the first and second quarters of the next calendar year."