Any savings for global memory buyers would depend on dynamic random-access memory (DRAM) prices falling; former 南亚科技 president 高启全 said successful launches and higher commercial output at 长鑫存储's planned 10 fabs could pressure contract prices.
Planned fab sites include Beijing, Shanghai and other locations. The bulk of the capacity is expected to become available over the next two years.
高 did not describe an imminent fall in consumer memory prices. He characterized downward pressure on DRAM contract prices as a medium-term risk. Lower component costs for PC makers, smartphone brands and other memory buyers would depend on DRAM prices declining.
Successful starts and increased commercial output at 长鑫存储 could intensify pricing pressure on 三星电子, SK 海力士 and 美光 before the firm's technology closes the gap, 高 said.
