Milwaukee (WI) – Robert W. Baird and Company, Inc. is reporting that Multi-level Cell (MLC) NAND spot pricing rose from being down 6% to ending up 3% this week. In addition, fully tested DDR2 spot prices are up between 1% and 3%. NAND flash contract pricing is up more substantially at 7% to 30%. Overall, the worldwide DRAM production is down 22% since September.
Other news released by Robert W. Baird & Company:
ProMOS, Elpida and PSC have been asked to resubmit plans for DRAM bailout funds this past week. Worldwide DRAM production remains down (at minus 22% since September) in a move attempting to stabilize prices and reduce inventory oversupplies. These recent signs indicate the plan is working.
As reported previously, Micron is looking to form a new DRAM alliance with Elpida, Nanya, PSC, Inotera, Rexchip, ProMOS and Winbond – using a three “parent” and five “siblings” approach to the alliance’s power structure.
Qualcomm is expecting 15 companies to launch Snapdragon-based netbooks before the end of June, 2009. Intel is currently planning to launch a new CPU for low-cost, ultra-thin notebooks with additional netbooks based on Intel’s N280 Atom seen in 2Q and 3Q. Asustek and Gigabyte are currently sitting on an excessive inventory of Intel’s 4-series chipsets. This may be the reason Intel recently announced a delay for its DDR3-based 5-series chipsets.
TFT LCD TV panel prices have dropped 12% to 19% month to month, as of last week. Rush orders from China have helped several manufacturers fight otherwise depressed production. In some instances, such as for CMO, their utilization rate has increased up to 50% due to rush orders. Sharp is expecting the LCD prices to bottom out in March, before increasing in price again.
R.W. Baird is again starting the rumor that Apple will launch an iPhone nano – this time in June, 2009. HTC is reportedly planning to use Nvidia’s processors in some of its phones. And currently, mobile phone chip orders are up ahead of the Lunar New Year for Chinese markets.
China Mobile plans to spend $8.6 billion to build/update its 3G network. Telcom operators are expected to spend $8.6 billion on LTE base stations by 2013 – which is a substantial, rapid expansion.
IC distributors in Taiwan have such an excess of inventory that it will be April or after before it can be reduced to “normal levels.”