Smartphones save DRAM’s day

Samsung DRAMPressure on the prices of dynamic random access memory (DRAM) will be limited because of demand for smartphones in the fourth quarter of this year.

That’s according to Trendforce which warns, however, that this is a temporary situation.

Avril Wu, an executive analyst at Trendforce, said that better smartphone shipments will drive demand for mobile DRAM. That means the decline of its average sales price will be within five percent during the fourth quarter.

But Wu said that the new year will show quarterly price declines of between six to eight percent as demand falls and supply increases

The next generation of smartphones will use a type of mobile memory called LPDDR4 – and only Samsung is able to manufacture in bulk right now.

Other big manufacturers including SK Hynix and Micron will be up to speed by the end of next year.