DDR4 spot market prices continue to rebound

Industry sources said that although end-market demand remains sluggish, DDR4 spot market prices continue to rebound.

According to digitimes, sources pointed out that as of the first quarter of 2022, there has been no significant recovery in terminal market demand, but the spot prices of mainstream DDR4 chips have been rising due to supply concerns.

Samsung and Micron have both warned that a strict coronavirus lockdown in the Chinese city of Xi'an could disrupt production at their local semiconductor factories, raising concerns about whether the incident will have a significant impact on global memory chip output.

It is understood that Samsung operates a NAND flash memory factory and related back-end facilities in Xi'an, while Micron operates a DRAM assembly and testing factory locally.

Sources said that in terms of growth, DDR4 spot prices are better than those of other DRAM types, but whether it will push up DRAM contract prices in the first quarter remains to be seen. The increase in DRAM spot prices is also greater than the increase in NAND flash memory prices.

In addition, sources pointed out that the shortage of certain logic chips has begun to ease, encouraging equipment assemblers and brand suppliers to stockpile memory chips. Seasonal factors may still drag down DRAM and NAND flash memory contract prices by about 10% in the first quarter of 2022, but supply concerns caused by the Xi'an lockdown measures may reverse the trend of memory contract prices.