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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: EACarl who wrote (28035)	2/5/1999 12:57:00 AM
From: Jeffrey D	Respond to of 70976

DRAM prices remain stable and might rise due to our Korean friends at LG Semicon. Jeff << WORLD CHIP PRICE STABLE DUE TO WORK STOPPAGE AT LG SEMICON -------------------------------------------------------------------------------- Story Filed: Thursday, February 04, 1999 08:52 PM EST SEOUL, Feb 05, 1999 (Asia Pulse via COMTEX) -- The international price of semiconductor chips may rebound on account of supply shortages resulting from the work stoppage at LG Semicon (KSE:29890), industry sources said Friday. The sources said world chip prices should have dropped from 10 percent to 20 percent around the end of last year normally, but haven't yet, due mainly to the demand increase for personal computers and reduced supply. In the case of 64 Mega DRAM chips, the price is still quoted at from US$10 to $10.2 per chip, in contrast to the usual market trend in which the chip price would fall from 10 percent to 20 percent around year-end and should be quoted at $8 to $9 per chip. The price of 16 Mega DRAM chips has not dropped from last year-end, and is currently quoted at $2.7 to $2.8 per chip. The situation has been attributed to increased demand for personal computers in connection with the need for solving the Y2K problem on computers and workstations. The stoppage at LG Semicon that has been in effect for about 10 days now, caused a supply crunch in the world chip market. The Korea chip company holds 6.7 percent of world DRAM chip output. An industry executive said many smaller customers, which used to buy chips at spot market, already sense a looming crisis, and if the suspension continues unabated, it could push world chip prices higher. >>