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nikimcbee
10-16-08, 08:13 PM
Competition is good, but this case it is killing the industry.

October 10, 2008 10:20 AM PDT
Chip forecasts head south

Posted by Brooke Crothers (http://news.cnet.com/8300-13924_3-64.html?authorId=9848742) Post a comment (http://news.cnet.com/8301-13924_3-10063229-64.html?part=rss&subj=news&tag=2547-1_3-0-20#addcomm)

Along with the economy, chip forecasts are heading south.
Following an outlook about weak chip industry capital spending from market researcher Gartner on Wednesday, iSuppli cut its 2008 IC revenue forecast to 3.5 percent from 4 percent on Thursday.
http://i.i.com.com/cnwk.1d/i/bto/20081010/wafer_90x75.png
The memory chip industry is the canary in the coal mine. At least two memory chip manufacturers are on life support right now (http://news.cnet.com/8301-13924_3-10057284-64.html). Hynix, the world's second largest maker of memory, is trying to scare up cash by seeking buyers for a 36 percent stake in the company. The other ailing memory maker is Qimonda AG. Rumors have been rife that the manufacturing assets of the loss-ridden company will be snapped up.
Hynix and Qimonda won't get any help from the market in the coming months. Gartner said that the oversupply in memory, combined with a slowing consumer market, "gives little hope for an upside until 2010." Semiconductor industry capital spending is forecast to decline 25.7 percent in 2008--this would be the steepest decline since 2002--and another 12.8 percent in 2009, according to the market researcher.
The iSuppli report isn't any brighter. The outlook for memory revenue has been revised downward by 5.8 percentage points for 2008. iSuppli is citing the "credit crisis" as adversely affecting demand.
And let's not forget the Micron surprise on Thursday. The largest maker of memory chips in the U.S. said it would reduce its workforce 15 percent (http://news.cnet.com/8301-13924_3-10062386-64.html) during the next two years. "Selling prices for NAND flash memory (are) significantly below manufacturing costs," Micron said in a statement.
SanDisk--the largest supplier of retail flash memory products--has problems of its own. It has become a buyout target (http://news.cnet.com/8301-13924_3-10045555-64.html) as its stock price has steadily declined over the last 12 months.
Click here for ongoing coverage from CNET News, 'Tough times for tech' (http://news.cnet.com/Tough-times-for-tech/2009-1014_3-6246957.html)

Zachstar
10-17-08, 12:35 AM
It was bound to happen sooner or later.

It was not THAT long ago when a meg of memory was a BIG deal! Now with things much more complicated.. The costs must be skyrocketing with the lack of ability to charge high prices because of weakening economy.

nikimcbee
10-18-08, 04:20 PM
It was bound to happen sooner or later.

It was not THAT long ago when a meg of memory was a BIG deal! Now with things much more complicated.. The costs must be skyrocketing with the lack of ability to charge high prices because of weakening economy.

I don't think it has anything to do with the economy. there are just too many companies making the stuff. It's great for the consumer, bad for the industry. The market is totally flooded with chips, driving the price down.:shifty: It's a screwy situation.

Wolfehunter
10-18-08, 04:35 PM
Which will bring up prices for computer stuff in the near future. Best time is now to upgrade after that it will be quite pricy.;)

Hylander_1314
10-18-08, 08:38 PM
I think a big issue that people have figured out, is to wait about a year after the latest greatest inventions come out, as the price tanks in a year. Look at the Nvidia 8800 GTS 512 video card. It was 329.99 US 8 months ago, and can be had for 129.99 US from Newegg, and add a 30 dollar rebate to it, and it's dirt cheap. I also think the technology is developing so quickly now, that the companies can't turn a buck like they did before. The latest greatest thing is out in what, something like 9 months? It's about half of what it was 15 years ago.

FIREWALL
11-25-08, 01:30 PM
Cheapest upgrade you can do to upgrade your Rig. :yep:

bookworm_020
11-25-08, 05:48 PM
Cheapest upgrade you can do to upgrade your Rig. :yep:

Unless your rig can upgrade no more!:cry: