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Memory chip prices will fall in 2019

SemiMediaEdit
September 3, 2018

Since the second half of 2018, due to the increasing production capacity of manufacturers, (Market Intelligence & Consulting Institute (MIC) predicts that the price of memory chips will begin to decline.

According to MIC, the semiconductor market in 2018 is the best in the past five years. Although the price of memory chips has not increased much in 2018, the demand for NAND Flash continues to increase. Therefore, it is estimated that the global semiconductor market will increase by 10.1% in 2018, the most important reason being the continuous increase in memory demand of various application terminals and the emerging applications such as automotive electronics. However, since the second quarter of 2018, as the production capacity of new factories of various manufacturers has increased, the price of memory has begun to decline. Especially in mainland China, both DRAM and NAND Flash production capacity continues to increase; although it has not yet entered the stage of stable mass production, it is expected that the price of memory will still fall in the second half of 2018. In the next two years, it is not easy for memory price to rise again.

As memory supply is expected to increase, looking forward to 2019, memory growth is expected to slow down, with an expected growth rate of 3.8%.

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