DRAM Reversal of Fortune, Now What?

Phoenix, Arizona March 25, 2010 - Semico forecasts 2010 DRAM revenue increases of greater than 70%, as compared to revenues in 2009. This comes on the heels of 33% and 40% sequential revenue increases in 3Q’09 and 4Q’09 respectively. DRAM ASPs have increased 108% since the industry reached its bottom in December of 2008. The DRAM industry began recovering from that point on, and from October of 2009 to January of 2010 DRAM ASPs have increased another 18%. Industry indications show no signs of ASP deterioration, which will contribute to robust DRAM revenues in 2010.

DRAM shortages are on the horizon and closing in fast. Ramifications of slowed manufacturing capacity output and a lack of capital expenditure over the last 24 months, in combination with increased underlying demand driven by a hot PC market, has led to the aforementioned positive DRAM pricing environment. Consequently, demand will continue to outpace supply in 2010, leading to a shortage scenario.

Semico’s most recent report DRAM Reversal of Fortune, Now What?, provides invaluable insight into where the memory segment is headed and why. With a detailed quarterly review of ASP’s, unit shipments and revenues for 2009 and 2010, the numbers rise to the surface and tell the story of what to expect over the next several months. Capital expenditures, bit growth rate, DDR3 crossover, and detailed forecasts by density migration through 2014 are all included.
The report is now ready for consumption. For additional information or to purchase this report, please contact us at jfeldhan@semico.com or 602-997-0337.

About Semico Research
Semico Research Corp is a semiconductor marketing and consulting research company located in Phoenix, Arizona. Semico was founded in 1994 by a group of semiconductor industry experts. We have improved the validity of semiconductor product forecasts via technology roadmaps in end-use markets. Semico offers custom consulting, portfolio packages, individual market research studies and premier industry conferences. For more information, please visit www.semico.com