DRAM contract prices show solid gain in 1H March, says DRAMeXchange

Contract prices for 2GB and 4GB DDR3 modules climbed about 22% and 16.5%, respectively, in the first half of March, according to latest data collected by DRAMeXchange.

Early March contract quotes for 2GB and 4GB DDR3 modules came to US$13.75 and US$23, respectively, on average, DRAMeXchange disclosed. Prices for 2Gb and 4Gb DDR3 chips averaged US$1.28 and US$2.56, respectively, during the period, rising about 18.5%.

The tablet market in China has been expanding rapidly, spurring demand for standard DRAM parts, DRAMeXchange said. Growth in demand coming from China's tablet market already led to a recent surge in spot market prices, DRAMeXchange indicated.

Lifted by the spot price rally, contract prices showed solid gains in early March, DRAMeXchange noted. Prices are expected to continue their growth in the short term, as buyers tend to replenish their inventories despite the continued slowing in demand for PCs, DRAMeXchange said.

In other news, market observers expect several DRAM manufacturers to return to profitability later in 2013, thanks to higher prices for their chips. Inotera Memories, for instance, will likely swing to quarterly profits in the third quarter.