The latest version of Windows requires a muscular 128 bits of memory, instead of the more common 64 bits. If corporate customers upgrade to Windows 2000 in large numbers next year, DRAM demand could pick up.
What's more, 128-bit memory chips have higher margins than their 64-bit counterparts.
Other factors that could help stimulate demand include new processors from CPU-makers AMD and Intel.
DRAM makers also say that demand for memory next year won't be led as much by PCs, as sales of network servers, communication products, Internet appliances and consumer electronics grow.
"They'll require DRAM. More and more we'll see demand from the IA side," Teng said. "But it will take a while."
Chen said the non-PC segment can't be counted on to come to the DRAM industry's rescue, as those products account for little of overall demand.
Furthermore, he said, like personal computers, consumer products "are still threatened by the global economic slowdown."
Some memory makers are attempting to call attention to the fact that they do more than just make DRAM chips.
Winbond said it expects strong sales growth for its LCD-drivers, network game chips and communications chips next year.
Powerchip says DRAM will account for 50 percent of its output next year, while other memory chips and foundry work will make up the rest.
Vanguard, the misguided effort by TSMC's Morris Chang (
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