DRAM prices will not stop rising -

Beancounters at DRAM Exchange are warning that demand for DRAM is outstripping supply and prices will not stop rising.

Apparently spot prices for mainstream 1Gb DDR2 and same-density DDR3 have recently rallied to approach the $3 mark this is something that has not been seen for years.

Part of the problem is that chip suppliers' have been making transitions to DDR3 and this has caused their supplies to tighten.

Meanwhile PC vendors, who are expecting a shortage, have been stocking up. They are fighting over a limited stash and this is pushing the price higher.

DRAM Exchange said that average spot prices of branded and effectively tested (eTT) 1Gb DDR2 memory edged up 4.39 percent, respectively in just one day. This is not bad for technology which is on its way out.

Prices for branded 1Gb DDR3 chips rose 0.54 per cent to average US$2.93 yesterday, while eTT DDR3 went up by 2.14 per cent to US$2.86.