Last week, SDRAM prices hit a new bottom, cheering OEMs who buy them but worrying memory manufacturers. The cause of the low prices is, reportedly, an industry over-reaction to analysts’ predictions, at the first of this year, of approaching, widespread SDRAM shortages. OEMs stockpiled memory than and are now using those inventories rather than buying new product. Some analysts, however, are now saying that prices are poised to move higher, with holiday gift-giving taking some of the slack out of market demand.
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