Former 南亚科技 President 高启全 Sees DRAM Price Risk From 10-Fab Buildout

Former 南亚科技 president 高启全 said 长鑫存储’s 10-fab expansion could pressure DRAM contract prices if the new plants start successfully and increase commercial output.

长鑫存储 is building the wafer factories in Beijing, Shanghai and other locations. Most of the added capacity is expected to come online within two years.

高启全 said a substantial increase in DRAM output could lower memory prices, even as Chinese producers face technology limits. He described the supply risk as medium term, rather than a sign of an immediate drop in consumer memory prices.

If DRAM prices decline, PC makers, smartphone brands and other memory buyers could see lower component costs. 三星电子, SK 海力士 and 美光 could face more price competition from 长鑫存储 before its technology catches up.