Samsung shuts down DDR3 production lines within 2 years, capacity restrictions support rising prices

"The semiconductor industry revealed that Samsung Electronics has stopped the production of DDR2 memory and plans to stop the production of DDR3 chips within the next two years.

According to the ""Electronic Times"" report, sources said that Samsung Electronics, as the largest supplier of 4Gb DDR3 memory, decided to stop investing in the production capacity of low-density DRAM memory and put more energy on the production of the more profitable CIS . Under this circumstance, DDR3 prices are expected to have limited room to fall.

The memory chip designer Jinghao Technology also stated that as Samsung withdraws from the DDR3 field, the price of 4Gb DDR3 is expected to be more stable, and the price is unlikely to face downward pressure in 2022. Currently, DDR3 prices are undergoing a short-term correction, but they are bullish in the first and second quarters of next year.

According to the flash memory manufacturer Transcend Information, DDR3 chips account for 50% of its DRAM inventory, because in the next 3-5 years, the company must stock up for the needs of the industrial control field. By 2022, DDR3 will account for about 40% of total DRAM inventory. Chairman Shu Chongwan said that supply constraints will bring long-term support to DDR3 prices.

In contrast, mainstream DDR4 prices will face downward pressure in the first quarter of next year. The continued shortage of certain non-memory ICs will continue to disrupt customer demand for DDR4 chips, and the lack of killer applications will also demand DDR4 in the short term. have negative impacts.

However, sources also pointed out that the price of DDR4 may stop falling in the second quarter of 2022 and start to rise in the second half of the year."