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Friday, 23 March 2012 11:39

Micron has mixed results

Written by Nick Farrell



Low prices for memory


Micron Technology posted mixed quarterly result saying that it is still getting low prices for its memory chips.

The bankruptcy of Japanese DRAM chipmaker Elpida in February has created hopes that chipmakers' pricing power, diminished by oversupply, will bounce back this year. But Micron said DRAM prices had yet to rise and that prices for NAND had fallen compared with the prior quarter.

Recently appointed Chief Executive Mark Durcan told analysts on a conference call that the outlook for memory chip prices was on the mend. He said that he was seeing improvements in the DRAM market and concerns over supply to be having a positive or at least stabiliaing effect. Durcan added that he was seeing a healthy supply/demand outlook for NAND moving forward.

Micron said that it sold 20 percent more NAND and DRAM chips by volume in its fiscal second quarter than in the previous three months. But it said that increase was offset by lower average selling prices.

Nick Farrell

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