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Technology Stocks : Alliance Semiconductor

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Jul 10 5:00 PM EST

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To: HankM who wrote (7652)	6/5/2000 4:26:00 AM
From: DJBEINO	Read Replies (1) of 9582

Samsung, Hyundai to raise DRAM chip prices Samsung Electronics and Hyundai Electronics will raise their semiconductor supply price to large-sized fixed buyers to keep in line with price increases in the global spot market. Insiders said yesterday Samsung Electronics will raise its supply price of 64M DRAM chips by 5-10 percent to computer manufacturers and other fixed buyers as their spot market prices rose above $7 per unit. Hyundai Electronics will follow Samsung's suit and raise its supply price through negotiations. Thus, under secure supply, the chip price will be around $10-$11, leading to increased income for both semiconductor manufacturers. Moreover, due to the sharp increase in the demand for personal computers, the shortage of semiconductors is expected to worsen in the second half of this year, further pushing up its price. "Prices on fixed transactions tend to go up when the spot price continuously increases, and there is a good chance it will continue to rise in the latter half of this year, which will push up prices for fixed transactions as well," a Samsung official said. Updated: 06/05/2000

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