DRAM biz set to grow by 40 p.c in 2010

DRAM biz set to grow by 40 p.c in 2010

Mike Howard, senior analyst for DRAM at iSuppli Corporation, said the year 2010 will build on the momentum built up in the fourth quarter of 2009, when the overall revenues in the industry went up by 40 p.c sequentially.

Monday, February 22, 2010

SAN FRANSICO: After 3 successive years of declines, the DRAM business is set to grow by 40 per cent in 2010 and reach $31.9 billion, according to iSuppli Corporation, the market research firm, headquartered in El Segundo, California, the United States.

In a statement, Mike Howard, senior analyst for DRAM at iSuppli Corporation, said the year 2010 will build on the momentum built up in the fourth quarter of 2009, when the overall revenues in the industry went up by 40% sequentially. Mike Howard attributed the growth to an increase in bit shipments and higher average selling prices.

The fourth quarter of 2009 was the best period for DRAM suppliers in recent memory, according to iSuppli Corporation. During that period, the industry earned revenues worth over $8 billion for the first time since the first quarter of 2007.

The DRAM market worldwide declined by 3.7% in 2009, by 25.1% in 2008, and by 7.5% in 2007.

Analyst predict that that supplies of all chip memories will be tight in 2010, and even beyond 2010, on account of a dearth in capital expansion in the recent years, a rebound in demand, as well as extended lead times for lithography tools from ASML Holding NV, the top supplier.

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