Tight low-density NAND Flash chips supply spurs price up

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DRAM spot market was quite last week as most buyers attended Computex Taipei. DRAM spot price was on a mild decline, with DDR2 eTT slipping 8% to US$1.6. Branded 512Mb (64Mb*8) DDR2 price slowly eroded to US$1.8. Most of the major DRAM module players such as Kingston, Kingmax, A-data, Transcend and PQI attended Computex

DRAMeXchange forecasts that the low-price PC will account for less than 1% of DRAM and NAND flash demand in FY07. However, the simple functions and attractive price points will be low-end PCs main advantages. Users in the developing countries may use low-end PCs as the alternative mean to connect to the internet. Thus, DRAMeXchange sees the low-end PC as a potential key demand driver to DRAM and Flash in the future.

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