DRAM market to plummet in 2019

March 28, 2019 //By Peter Clarke
DRAM market to plummet in 2019
A combination of concerns over market conditions and a sharp downturn in average selling prices (ASPs) will cause the market for DRAM in 2019 to fall by 22 percent compared with 2018, according to IHS Markit.

The market will reach $77 million for the full year and the market researcher agrees with DRAMexhange that falling ASPs and weak demand will likely continue through 3Q19 (see DRAM prices to keep on falling in 2H19 ).

Top ten DRAM vendors by market share in 4Q18. Source: IHS Markit.

"The recent decision announced by Micron Technologies to cut memory chip output, in the face of stalling demand is not surprising," said Rachel Young, associate director at IHS Markit, in a statement. "In fact, most memory chip manufacturers are taking measures to manage supply output and inventory levels, to address softening demand."

Bit supply and bit demand growth are expected to remain at about 20 percent per annum.

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