The prices of the most widely produced computer-memory chips may extend their two-week decline as ProMos Technologies Inc (
The spot price of a 256-megabit, 266-megahertz double-data-rate dynamic random-access memory chip, fell 0.2 percent to US$6.10, bringing its losses since Dec. 12 to 5.4 percent, according to dramexchange.com, a Taiwan-based online chip trading site. Prices will range between US$5.90 and US$6.35 next week, it said.
"The possibility of excess product from ProMos has already fastened on the spot market and will damage the [double-data-rate dynamic random-access memory chip] price situation," the exchange said in its weekly market outlook.
ProMos may be forced to seek new customers after Infineon Technologies AG, Europe's second-largest chipmaker, said on Dec. 10 it wanted to sell its 30 percent stake in ProMos and end a purchasing and technology agreement with the Taiwan company from Jan. 1.
Chip prices normally peak at the end of the third and fourth quarters as personal-computer makers place orders in preparation for their biggest sales season, which comes during the end-of-year holidays. Prices usually fall at the beginning of the year.
The majority of the chips, which are produced in the millions every month, are sold through long-term contracts, which companies typically don't disclose.
Contract prices for 256 DDR chips will fall to between US$6.50 and US$7 next week, Dramexchange said.
Separately, the shares of Hynix Semiconductor Inc jumped as much as 14.3 percent after Korea Exchange Bank and other creditors approved a US$4 billion bailout to keep the world's third-largest computer memory-chip maker in business.
Hynix's third bailout in two years includes swapping 1.9 trillion won (US$1.6 billion) of debt into equity and extending payment on 3 trillion won of debt. The lenders aim to preserve the chipmaker for sale to recoup some of the 6.2 trillion won the company owes.
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