The customer accepts the price increase request! DRAM prices have risen for three consecutive months

Source: CINNO

    The price of DRAM has risen for three consecutive months as customers in Chinese Mainland accepted the price increase requirements of memory manufacturers.

    On February 16th, Nikkei News reported that the price of DRAM used for temporary data storage on smartphones, PCs, and data center servers has risen for three consecutive months due to Chinese mainland customers accepting price increases from memory manufacturers. In January 2024, the wholesale price (bulk trading price) of the indicator product DDR4 8Gb was around $1.85 per unit, an increase of 9% compared to December 2023. The price of smaller capacity 4Gb products was around $1.40 per unit, an increase of 8% compared to the previous month, all of which have been rising for three consecutive months.

    The wholesale price of DRAM is determined monthly or quarterly between storage manufacturers and customers. The above price negotiation time is before the Lunar New Year in Chinese Mainland, and before the holiday, customers in Chinese Mainland increase their purchase volume.

    The report points out that it is reported that 2024 will enter the initial stage of the PC replacement cycle, and the demand for DRAM is expected to increase. According to the electronics firm, in addition to customers in Chinese Mainland, "PC manufacturers also accept price increases".

    Gartner released an estimated report in December last year, stating that driven by double-digit growth in memory, it is expected that 2024 will be a year of rebound, and global semiconductor revenue is expected to rebound to $624 billion, an annual increase of 17%.

    In 2024, storage demand is expected to show a strong recovery, with revenue expected to skyrocket by 66.3%. Flash Memory revenue is expected to skyrocket by 49.6%, and DRAM revenue is expected to skyrocket by 88%.