Originally posted by: Idontcare
Originally posted by: Denithor
Actually, I don't know about that - with the move to smaller manufacturing the build costs will go down significantly so even with the same margins the prices should continue to drop.
That's covered in the article as well. It is seen as a move that will stabilize prices, not enable continued waves of losses at the manufacturers so that we consumers can see additional price cuts on our consumer devices.
For sure the general pricing trend is
down, I'm just cautioning against the desire to take the slope of that downward trend (especially the recent portion of it) and project/extrapolate that to the future.
We got ahead of ourselves here with the recent price-cuts on SSD's. Our prices should not have been this low until Q4 timeframe
if the markets were reducing prices in a sustainable fashion.
As such we really ought to expect a bit of a plateau here for a while as businesses scale back their operations so they stop bleeding cash. That means lowered supply as they try and find a supply/demand point that results in the $/GB being high enough that they can break-even at worse.
No different than the DRAM market really, same players too.