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Technology Stocks : Applied Materials No-Politics Thread (AMAT) -- Ignore unavailable to you. Want to Upgrade?

To: Proud_Infidel who wrote (11041)	7/29/2004 10:56:33 AM
From: Proud_Infidel	Read Replies (2) \| Respond to of 25522

Q2 DRAM Rev Up 20% from Q1, Gartner Reports Online staff -- Electronic News, 7/29/2004 Worldwide DRAM revenue reached $6.7 billion in Q2, a 19.8 percent increase from $5.6 billion in Q1, according to preliminary estimates by market research firm Gartner Inc. The top spot was again reserved for Samsung Electronics, which grew its market share to 29.7 percent in Q2, up from 28.4 percent in Q1 with revenues of 1.98 billion, an increase of 24.9 percent from Q1’s revenues of $1.59 billion. Hynix Semiconductor moved into the No. 2 position in Q2 with revenue totaling $1.1 billion, up from $921 million in Q1. Hynix last held the No. 2 position in 1999, when Hyundai Electronics and LG Semicon merged to form the company. “Hynix Semiconductor was one of the top performers in the second quarter. Hynix’s strong presence in the legacy and graphics DRAM segments, which had strong pricing, enabled it to outgrow its rivals, Micron and Infineon,” said Andrew Norwood, a principal analyst at Gartner, in a statement. From a growth perspective, Elpida Memory took the cake with 50 percent growth from Q1 to Q2. Revenues for the company were $360 million in Q2 over $240 million in Q1. In Q2, the DRAM industry reached its highest revenue total in four years, however, the industry is entering the height of the DRAM boom, and the industry will be heading into a recession during 2005, Norwood noted. “While the DRAM vendors are gaining profits, they are increasing their capital expenditures on new production facilities. These will come online in late 2005 and through 2006, triggering an oversupply-driven downturn,” he said. In 2005, there will be a real battle to be a top-tier vendor behind Samsung as vendors prepare for a more difficult marketplace and all of the DRAM vendors will need a survival strategy to remain competitive, Norwood concluded.