why is the price of RAM dropping so fast?

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353535355353535

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#1 353535355353535
Member since 2005 • 4424 Posts

3 or 4 months ago, the price of a 1GB of DDR2 PC2-5300 memory stick was over 100 dollars.

Now, Im seeing memory sticks for less than 60 dollars. what's goin on?

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dausley

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#2 dausley
Member since 2007 • 125 Posts

3 or 4 months ago, the price of a 1GB of DDR2 PC2-5300 memory stick was over 100 dollars.

Now, Im seeing memory sticks for less than 60 dollars. what's goin on?

353535355353535

I've got no idea... However, it makes me happy to see 2GB of budget Corsair DDR2 RAM going for just over $100.  

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supergamer1289

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#3 supergamer1289
Member since 2005 • 2825 Posts
Over time, especially with computers, prices just go down. That is usually true with everything. Also there is a lot of competition in the memory market which forces companies to lower prices.
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yoyo462001

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#4 yoyo462001
Member since 2005 • 7535 Posts
it gets easier to make pc parts these days, e.g. 65nm cpu's are making manufacturing cheaper, which means we get it cheaper.
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RayvinAzn

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#5 RayvinAzn
Member since 2004 • 12552 Posts
A year ago, DDR2 667 was almost as low as it is now - after AMD switched to DDR2 with AM2, and Core 2 Duo came out and brought gamers back to Intel, demand for DDR2 shot up much quicker than memory module manufacturers could keep up. This caused the exceedingly high prices that we saw from around July until a few months ago. Things are dropping so fast because the supply has finally caught up with the demand, and companies can afford to start undercutting each-other's prices again.
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cobrax25

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#6 cobrax25
Member since 2006 • 9649 Posts
also, prices generally fall, right before the summertime.
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ncderek

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#7 ncderek
Member since 2004 • 5513 Posts
i just bought 2 gigs, it was 258 with a 40 dollar rebate. its now 175 with a 40 dollar rebate, difference of one month
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Staryoshi87

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#8 Staryoshi87
Member since 2003 • 12760 Posts
DDR3 is looming on the horizon and faster DDR2 is coming out. DDR2-800 was bound to come down from its inflated prices any way.
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sykonfc

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#9 sykonfc
Member since 2004 • 607 Posts
Here's an interesting question for you guys and gals: Do any of you think competition in the memory market will reduce (a la two or three primary suppliers) much like the GPU and CPU markets?
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Staryoshi87

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#10 Staryoshi87
Member since 2003 • 12760 Posts
Competition will always drive prices down. So yep.
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cummingspatrick

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#11 cummingspatrick
Member since 2003 • 5083 Posts

In fact the prices are high. The reason you see a price drop is because the prices skyrocketed in the last half of 2006. The prices are still higher than they used to be. Also DDR1 RAM has become costly since it is getting out of use for new computers, however it is still purchased a lot for upgrades.

Here's an interesting question for you guys and gals: Do any of you think competition in the memory market will reduce (a la two or three primary suppliers) much like the GPU and CPU markets?sykonfc

No, the RAM market is very different from the GPU and CPU market. This is because RAM is easy to do and is very simple, so it is considered "cheap" electronics. That means pretty much every asian PCB/chip industry can do theirs for really cheap, while CPUs and GPUs are extremely complex, so only a few american/european companies with a lot of knowledge can do them. This is true for every kind of electronics. The very simple components that you see on boards like resistors, capacitors, etc. are all built in asia by a lot of companies, while complex parts, like every complex chip, can only be built by a few.