Elpida wants to increase capacity *and* market prices: wishful thinking ahoy!

Discussion in 'Graphics and Semiconductor Industry' started by Arun, Apr 3, 2008.

  1. Arun

    Arun Unknown.
    Moderator Legend Veteran

    Aug 28, 2002
    Likes Received:
    This headline at Digitimes made my day: Elpida aims to be number-one DRAM maker in 2010; calls for resumption of healthy pricing

    But don't worry, it gets better:
    Gosh. These guys are going to crash so hard it's not even funny. They are going to deliver totally crazy bit growth in a market that, quite simply, doesn't need it. And they basically just hope that OEMs will let them increase prices so that everyone in the DRAM industry can make a lot of money and survive, because otherwise they risk suffering from monopolistic pricing. Yeah right, like any OEM is seriously going to look at it that way.

    This headline and the news piece's text represent perfectly why I believe the DRAM market is doomed. And by extension, the NAND market is doomed too unless they can get cost/MByte to be low enough to replace HDDs in even low-end PCs. It's really frightening to see some of these DRAM companies (Elpida is not the only one) suffering from such massive wishful thinking and bad strategic planning.

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