back to article DRAM, is it cold in here? Semiconductor market expected to shrink 12% in 2019

With average prices for semiconductor components going down dramatically in 2019, especially DRAM and NAND, major chipmakers have been forced to reduce their production output. As a result, the silicon market is expected to shrink by 12 per cent year-on-year. According to analysts at IC Insights, the global semiconductor …

  1. Trollslayer

    It is/was bound to happen

    Like Moore's Law running out.

    1. Aitor 1

      Re: It is/was bound to happen

      Also, years of "differential pricing" on parts, have cooled down demand (for example, demand for new GPUs)

      Add to this an incoming global recession plus trade wars.. and it does not look good.

    2. Anonymous Coward
      Anonymous Coward


      This is SOLELY due to greater supply in the DRAM/NAND markets leading to lower prices. When measured by number of wafers consumed, number of bits of DRAM/NAND etc. the market is still growing.

      If you sell 10% more of something at a 20% lower price, the revenue for that market will shrink.

  2. Roj Blake Silver badge

    Trade War

    Shame that there's no mention of the Japan/South Korea trade war in the article, which will potentially affect production at SK Hynix and Samsung.

  3. K

    The fat times are over... yippee

    I swear the price of RAM has been rigged for the past several years. When I brought a HP Microserver Gen10 about 18 months ago, the price of 32GB RAM was more than 2x the price I paid for the server (about £370)

    Thankfully over the past couple of months, prices have massively dropped, I recently brought SFF PCs for a home project, putting 64GB DDR4 kit in each, for a much more reasonable £250.

    1. Anonymous Coward
      Anonymous Coward

      Re: The fat times are over... yippee

      Are you comparing like-for-like?

      Doesn't the Microserver use ECC while normal PC's use non-ECC memory that is considerably cheaper?

      As an aside, when are we going to ditch non-ECC memory and just use ECC as standard to lose the small cost savings in non-ECC memory and drive down ECC memory pricing with volume?

  4. Hans 1
    Thumb Up


    The New Ryzens will sort that out - we are down to 7nm, more cores, higher clock rates, lower TDP (even by Intel's standards, AMD lists max TDP, Intel "average TDP", whatever that means).

    AMD tops single core, multicore, and even gaming benchmarks. I REPEAT, THE NEW AMD RYZEN CHIPS TOP THE GAMING BENCHMARKS, USING HALF THE POWER - if you are on Intel, time to consider the new Ryzen chips.

    PS: I am not employee at or shareholder of AMD - I personally gain nothing should you purchase AMD hardware.

    1. Anonymous Coward
      Anonymous Coward

      Re: Nope

      The desktop Ryzens are unlikely to make a difference. I suspect they will make an impact to units shipped, but it will be to machines with minimal RAM given the capacities now being produced i.e. 16GB for a desktop using 1Gb or 2Gb chips when the premiums are the 4Gb and 8Gb chips for much larger capacities.

      The rumour is that the cloud providers haven't been splashing out on new Intel chips and trialing Zen/Zen2 chips. If they can get the performance/cores/efficiency/security from Zen2 to warrant larger memory capacities, that may trigger a large increase in the memory market.

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