The price of RAM luckily has stabilized and we have gone to logical prices after very crazy years. One of the factors is that the number of smartphones sold has fallen considerably. We have gone from 8GB of DDR4 RAM for more than 100 euros to 8GB DDR4 for about 50-60 euros. This price seems to be the floor of RAM.
The market situation has improved a lot in recent months for the user. It should be noted that like any product, it has a viable minimum price. A company needs, in addition to covering costs, to obtain some benefits. So it is estimated that the price of RAM will not fall further.
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DRAMeXchange indicates that DRAM chip purchases increased during the second half of 2019. This is due to fears of higher tariffs from the Trump administration . Faced with this uncertainty, memory manufacturers decided to clear their stock. This has led to an increase in company revenues compared to the same period in 2018.
According to the data, DRAM memory manufacturers have increased revenues by 4.1% in Q3 2019 compared to Q2 2018. As a counterpart, indicate that the profit margins due to lower prices and production costs.
To compensate, more advanced lithographic processes would have been used that have allowed reducing costs and improving income. This is because a wafer would offer more DRAM chips. In addition, manufacturers are paralyzing projects to expand production.
Analysts indicate until the second half of 2019 there was an excess production of memories. This would have allowed the companies' accounts to obtain such positive results.
Source: Anandtech
