Nanya Technology Plans DRAM Price Increase Up to 20%
Memory chip manufacturer Nanya Technology has informed its customers of plans to raise DRAM contract prices by up to 20%. This move signals an expected strong growth cycle in the memory market.
Taipei, Taiwan – Memory chip maker Nanya Technology has notified its customers of its intention to increase DRAM contract prices by up to 20%. This notification follows previous price adjustments and reinforces industry expectations of a robust growth cycle in the memory market.
Nanya Technology has declined to comment on specific pricing matters. However, industry analysts anticipate that these new contract price adjustments will lead to an increase in Nanya Technology's average selling prices (ASP) and improved profitability, supporting the company's ongoing positive business performance.
The global memory market is experiencing a period of increased demand and constrained supply. Research firm TrendForce indicates that manufacturers are prioritizing production capacity for high-performance server products, leading to tight supply for general DRAM. Contract prices for these general DRAM types are projected to rise by 10% to 15% in the fourth quarter compared to the previous quarter. Prices for consumer DRAM are also expected to increase further due to ongoing production cutbacks by major manufacturers.
Nanya Technology has seen a significant increase in its financial results throughout the year, partly driven by rising memory prices. The company's consolidated revenue in September reached NT$45.091 billion (approximately $1.3 billion USD), marking the eleventh consecutive month of record-high monthly revenues. Third-quarter revenue stood at NT$133.649 billion (approximately $3.8 billion USD), and revenue for the first nine months of the year totaled NT$265.285 billion (approximately $7.5 billion USD), setting new records for both the quarter and the year-to-date period.