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DRAM Memory Prices Could be Set to Tumble in 2019 Due to Oversupply
By Stuart Thomas on July 27th, 2018 at 04:41pm - original article from game-debate

While DDR4 memory has been approaching far more sensible levels in recent months, DRAM is still costing prohibitively more than we’d normally expect. The good news for us, the gamers, is that oversupply in the global DRAM market could see prices drop significantly as we head into 2019.

The likes of Samsung and SK Hynix have been cashing in in a big way in the past two to three years, raking in record profits from a memory market that has been facing sky-high demand and limited supply.

However, a number of competitors such as Micron, Fujian Jin Hua, and Innotron Memory have all been making inroads into the DRAM market lately. This has caused Samsung to lose its majority market share and has cause hesitation from investors in terms of ramping up production.

Just about every sector of the technology industry has demand for DRAM, basically, but the rush to cater to this market has meant greater competition and an oversupply of product. Demand isn’t dropping though, and automotive applications are expected to overtake the smartphone sector and become the largest market in the world for memory chips.

To that end, DigiTimes believes that the global DRAM market will reach a peak of $104 billion in 2018, but in subsequent years the market will begin to contract by around 1.8% in 2019 and 2.6% in 2020.

For the consumer, this is fantastic news. The market is being flooded with more DRAM than ever before which should, in theory, mean prices for DDR4 memory should continue to drop heading into 2019.

Source: DigiTimes