t e c h i e - t a l k s ::: technology at its best

Are you thinking of buying new RAMs to get your Vista to work faster? Or probably just to make your computer function generally smoother? Good news is that DRAM prices have dropped drastically for the past year. The bad news — It could get more expensive soon!

DRAM makers are seeing price cuts of RAM prices and they fear that prices will go down further. Hence, in order to curb the price reduction, DRAM makers have to resort to reducing their supplies and hope that RAM prices will stabilize and prices will not go down further.

The current price tag for a 512 MB DDR2-667 is at US$0.88 and a 1GB DDR2-667 costs US$1.75. This price drop was from a US$5.88 and US$3.00 respectively. That concludes to  drop of 85.2% of the original price! The DRAM companies (based in Taiwan) can no longer do business if this trend continues.

Thus, the memory makers are slowing down output supplies to try and curb the price crisis. This has lead them to stockpile their RAMs and wait till the prices go up again before selling these RAMs off. This means that some DRAM makers are discontinuing supply chains and telling buyers that there is a short of RAM supply. With a short supply, prices will tend to go up due to the difficulty of getting these RAMs. This “sense of scarcity” of the DRAMs is a tactic that the DRAM makers have to make in order to keep the industry alive.

Therefore, get your RAMs quick before RAM prices will start to increase again!