On January 16, Kingston issued a warning signal to supply chain partners, saying that the computer storage market demand is weak, prices continue to fall, and the overall market conditions this year are not optimistic. If the trade war between China and the United States continues, computer storage module factories and memory chip manufacturers will be hard to make a profit.
In the past two years, benefiting from the rise in computer memory chip prices and shipments, Kingston’s total revenue in 2018 has reached US$13 billion, an increase of 30% year-on-year, a record high. However, the price of computer memory chips continues to fall in the second half of 2018, which may affect its future profitability.
Under the influence of trade wars and weak market demand, the research institutes and the industry are not optimistic about the trend of computer storage such as DRAM and storage flash. From the second half of 2018, Kingston has not expressed any optimism.
Recently, Kingston said to suppliers that this year’s overall market conditions are not optimistic, Kingston will strengthen the sales of high-priced e-sports headsets, keyboards, mice and other products.