Record sales highlight DRAM price rise

Some of Taiwan's DRAM makers have reported record monthly sales for August, highlighting an increase in DRAM prices that could continue in the months ahead. The higher prices are unlikely to affect PC prices thanks to the stiff competition among system vendors and makers of other types of components, such as microprocessors. But users who want some extra DRAM for their PCs could find themselves handing over a bit more money than before.

Nanya Technology, Powerchip Semiconductor, and ProMOS Technologies all reported record sales for August this week. The higher sales stem partly from an increase in PC sales in some parts of the world. That increase drives up prices for DRAM, since most of the chips -- around three quarters of the global supply -- end up in PCs. Analysts say PC demand could stay robust for the next several months, as back-to-school demand and holiday demand are followed by the launch of Microsoft's new operating system, Vista. That could keep prices for DRAM high.

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News source: InfoWorld

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