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To tell the truth, we don’t feel like drawing any hasty conclusions so far, but the fact is hardly deniable: the prices for DDR SDRAM chips keeps going down steadily though not that rapidly at all. As for the SDRAM prices, the situation is even more encouraging: they started dropping about 1 week before those of DDR did. Take a look yourselves (the data borrowed from DRAMeXchange):

256Mbit (32M x 8) DDR266 SDRAM


128Mbit (16M x 8) DDR266 SDRAM


256Mbit (32M x 8) PC133 SDRAM


128Mbit (16M x 8) PC133 SDRAM

Note that the prices of 128Mbit chips drop faster than those for 256Mbit ones. Actually, I can’t find any suitable explanation to this fact.

The memory makers commented on this price drop having announced that it is connected with a significant reduction of demand as the traditionally "bad" Q2 approaches. In fact, I have absolutely no idea what is so bad about this Q2. I can’t remember any "tradition" here. Q1 has usually been considered as bad times (because of the too many holidays), and Q2... There is something wrong here, no doubt. In other words, we should pay a bit more attention to what’s happening in the memory market and then check if our second forecast is to come true or not (see this news story)...

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