Hynix expects DRAM ASP to drop 30% in 2007
While its quarterly sales were driven up in the fourth quarter of 2006 by increased DRAM demand in anticipation of the launch of Windows Vista, Hynix Semiconductor shares similar views with its competitors, expecting DRAM average selling prices (ASPs) to slide by 30% in 2007, according to the company’s management team during a recent investor conference.
For 2007 as a whole, DRAM ASPs will reduce by 30% on year, versus the less than 15% price erosion that was recorded for the previous year, Hynix said. The Korean chipmaker said the DRAM market situation was especially good in 2006, and sustained price stability. Hynix reiterated that market demand for DRAM will be slow in the first half of 2007, with quarterly ASPs to drop consecutively by 15% per quarter during the period. However, price trends will grow more stable in the second half of the year, and there may be even chances for ASPs to grow slightly, the company predicted.
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