RAM and SSDs rise in price due to coronavirus

The COVID-19 pandemic increased the need for remote work, which immediately increased the demand for DRAM for servers and enterprise SSDs. The increase in demand will result in higher prices. In any case, TrendForce analysts adhere to this point of view. They have already raised the forecast for rising prices for DRAM server memory in the second quarter compared with the first from 15% to 20%. In terms of prices for SSDs, the forecast is increased from 5-10% to 10-15%. One factor behind price increases is the low inventory levels of DRAM suppliers.

The situation with prices in the second half of the year will depend on how the pandemic develops. The disease has already been suppressed in China, but it is spreading rapidly in Europe and the United States. If the spread continues in the second half of the year, the world economy will be in crisis and this will force manufacturers to reconsider their forecasts and plans. Prices will be determined by the ratio of supply and demand.

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