DRAM market shows signs of recovery
Despite the struggling pc market, the dram industry made a significant recovery in Q2, posting its highest profits in nearly three years.
According to IHS, operating margins climbed to 27% during the April to June period, up from 11% in Q1.This represented the highest profitability since the 33% level attained in Q3 2010.
"The dram supply base today is vastly different from the way it was two years ago, when asps sometimes plunged by nearly one third within a single quarter," said Dee Robinson, senior analyst, memory and storage, for IHS.
"For the past two quarters, however, dram suppliers have been enjoying the fruits of industry consolidation with only three major players now left in the market, down from five in 2008. The resulting realignment in capacity has brought stability to a market that has undergone a major transition with the decline of the pc market."
