It was not too long ago that GPU prices had started returning to their MSRP after almost 2 years. PC gamers rejoiced as the prices fell back towards their original MSRP, building a PC wouldn’t break the bank as much as it used to. After this news, DRAMeXchange has released a statement confirming we can expect DRAM and NAND product prices to fall towards the 4th quarter of 2018 and early 2019.
We can expect a ~15% drop in prices by 2019
DRAMeXchange stated that the reason behind the expected drop in prices is due to a fall in demand in the server and smartphone market. The smartphone market indicated a downward trend in demand which has left the DRAM products in higher supply than needed. Another reason behind the decline is the Intel CPU shortage that has directly impacted the server DRAM demand schedule in an adverse manner. DRAMeXchange expects the downward trend in prices to continue into 2019 if the demand for smartphones and servers continues to fall.
NAND production capacity increase.
The NAND Flash product market will be experiencing an increase in production capacity which will lead to increased competition. With the increase in competition, there will be an aggressive pricing strategy amongst competitors that will lead to up to a 25%-30% drop in prices in NAND and Flash products.