PC OEM makers have recently increased their orders for DDR3 modules at Samsung Electronics, while Elpida Memory is seeking additional supply of DDR2 chips from partner Powerchip Semiconductor Corporation (PSC) to meet increased demand from customers, according to industry sources.

This shows that the DRAM contract market is seeing a pick-up in replenishment demand following the Lunar New Year break, the sources commented.

In the spot market, DRAMeXchange data show that average prices for branded 1Gb DDR2 memory rose 1.17% in one day to close at US$2.42 on February 25, with the price also 1.7% higher than the US$2.38 on the first trading day (Feb 22) after the Lunar New Year holiday. The 1Gb DDR3 segment was priced at US$2.88, remaining stable this week.

Meanwhile, average spot prices for DDR2 1Gb eTT chips were pushed up by 2.39% to close at US$2.31 on February 25 .

Sources at memory module houses expect spot prices in March to show more strengths than the pre-Lunar New Year levels.

In addition, the sources indicated that there is still demand for DDR2 memory. Buyers especially from China, concerned about reduced supply of DDR2 after March, are building up their inventories, the sources said.

As such vendors as Samsung, Hynix Semiconductor, Elpida and Micron Technology are all shifting their focuses to DDR3 output, major Taiwan-based DRAM producers are also ramping their DDR3 capacities