The mainstream DDR3 contract market has seen a mild price drop for the latter half of July, reflecting slow demand, according to the latest data. DDR2, which has become a legacy memory product, has posted a deeper price drop due to a sharp demand shrink.
Contract price for the mainstream 2GB DDR3 modules has dropped by 2% to US$43 for the latter half of July, translating to US$2.56 per Gb. Price of 2GB DDR2 modules has dropped by 4% to US$35, translating to US$2.06, in the same period.
PC OEMs have not increased their procurement significantly for the second half of the month as they have already stocked up sufficient inventory. Vendors, on the other hand, are striving to keep quotes stable.
As DDR2 hast lost its mainstream role in the PC market, some PC OEMs are relying more on their own inventories instead of buying more.
Price of DDR2 should continue to see a deeper drop as compared to DDR3. If channel demand is weaker than expected during the back-to-school season, some vendors/distributors may even dump their inventory. DDR3 price, on the other hand, should be able to stabilize in August when rebound may be seen in PC sales.