DRAM average sales price (ASP) is expected recover slightly in the first quarter, according to market research firm TrendForce.
According to the research firm: Graphic DRAM will see increase between 5 to 10%. Server DRAM will stay flat or increase by 5%. Consumer DRAM will stay flat or increase by 8%. PC and mobile DRAM will stay flat.
Mobile will account for 40% of the DRAM supply; server 34%; PC 13%; consumer 8%; and graphics 5%.
The rate of price drop is slowing down faster than expected from recovered demand for mobile DRAM and continued demand for PC DRAM, TrendForce said.
Though the first quarter is traditionally an off-season for OEMs, Micron’s fab blackout has made buyers stock-up in expectations of a price rise, the firm said.
TrendForce initially expected DRAM prices remain flat up to the first quarter.
Oppo and Xiaomi are expected to aggressively increase smartphone production in the first quarter to use the vacuum left by Huawei in the wake of US sanctions, TrendForce said. This will cause Mobile DRAM prices to remain stable in the first quarter, unlikely traditionally in which the prices decline by around 10%.
Graphic DRAM will see price jump from launch of new gaming consoles. Suppliers are stocking up on 20nm and 10nm graphic DRAM, the market research firm said.