26th November 2007

DDR2 prices still going down, manufacturers expected to shift to NAND production

posted by Eric C. in Drives/Media, Hardware, Memory |

DDR2 prices have been in a death spiral for a while now and currently show no sign of a rebound. Prices are still on the way down, with DDR2 128×8 density chips becoming cheaper still and DDR2 64×8 density chips selling for below cost to manufacture them. According to sources in the industry, “if DDR2 128×8 pricing continues to decline it will become more expensive to buy 64×8 modules as 128×8 is manufactured more efficiently.” This means it may become harder to find and their may be a premium on 64×8 parts for older motherboards that may be incompatible with DDR2 sticks built with 128×8 chips.

Memory manufacturers are expected to shift production lines from DDR2 to NAND flash memory as their is more profit in NAND memory. It is unclear if the process has already started but even if it has, the transition could take up to a few months. This means memory prices most likely won’t be going up any time real soon, since the supply will still outstrip demand until the switch to NAND happens and lowers the supply of DDR2 chips.

Leave a Reply

You must be logged in to post a comment.