Surprise memory price drop

@ 2018/01/15
Chip boom might not last

After an 18 month boom, there has been a sudden drop in some memory prices, which is causing jitters among investors who had thought the chip boom would last at least another year.



Prices of high-end flash memory chips,dropped nearly 5 percent in the fourth quarter and some analysts now expect the industry’s growth rate will fall by more than half this year to 30 percent.

That led shares in Samsung to dip 7.5 percent last week, while its home rival SK Hynix fell 6.2 percent. But analysts say that there is unlikely to be a sudden crash, and that 2018 should be a relatively stable year for chipmakers.

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