3Q DRAM Price Decline to Widen to 15%
June 6, 2019 | TrendForceEstimated reading time: 1 minute
DRAMeXchange, a division of TrendForce, points out that, as ripples from the U.S. ban continue to spread, Huawei's shipments of smartphone and server products are feared to face heavy obstacles for the next two to three quarters, impacting peak-season demand for DRAM products 2H and the time of price precipitation. TrendForce officially adjusts its outlook for 3Q DRAM prices from its original prediction of a 10% decline to a widened 10-15%.
TrendForce points out that the chance of DRAM prices dropping below suppliers' fully-loaded costs was originally predicted to be extremely slim under the premises that the competition only consisted of three giants, and that DRAM production processes were nearing physical limits. Yet a heated U.S.-China trade war may send demand in the second half of this year into quick-freeze, with the increasingly looming uncertainty compelling datacenters to make reductions to capex. Fragile DRAM suppliers may have to admit current inventory casualties on the books by the end of this year, and officially modify their financial statements to report: “Loss.”
According to TrendForce's forecast, DRAM prices have a chance to see a rebound in 2020 due to prices hitting bottom, limited supply bit growth and other factors. But for 2019, it is feared that suppliers will come under prolonged pressure to adjust prices downwards.
Suggested Items
Saab Launches New Initiative to Shape the Future of Defense and Security
04/24/2024 | SaabSaab announces the launch of Skapa by Saab, a new initiative to accelerate the development and deployment of cutting-edge technologies and solutions.
Alternative Manufacturing Inc. Awarded QML Requalification to IPC J-STD-001 and IPC-A-610
04/24/2024 | IPCIPC's Validation Services Program has awarded an IPC J-STD-001 and IPC-A-610 Qualified Manufacturers Listing (QML) requalification to Alternative Manufacturing Inc (AMI).
AI Demand Drives Rapid Growth in QLC Enterprise SSD Shipments for 2024
04/23/2024 | TrendForceNorth American customers are increasing their orders for storage products as energy efficiency becomes a key priority for AI inference servers. This, in turn, is driving up demand for QLC enterprise SSDs.
Septentrio Expands UAV Ecosystem for Reliable GNSS Positioning
04/22/2024 | SeptentrioSeptentrio, a leader in high-precision GNSS* positioning solutions, is closely working with several major drone solutions providers including 3DR, Holybro, ARK Electronics and Systork, which is resulting in various new products that allow easier prototyping or integration of the mosaic™ GNSS receiver into UAVs.
AIM to Highlight NC259FPA Ultrafine No Clean Solder Paste at SMTA Wisconsin Expo & Tech Forum
04/18/2024 | AIMAIM Solder, a leading global manufacturer of solder assembly materials for the electronics industry, is pleased to announce its participation in the upcoming SMTA Wisconsin Expo & Tech Forum taking place on May 7 at the Four Points by Sheraton | Milwaukee Airport, in Milwaukee, Wisconsin.