Computer memory chip prices jumped more than 10 percent on Monday amid growing demand for personal computers and concerns about supply. A surge in buying by PC makers, among other issues, has supported the price rise. All of this has pushed spot prices to nearly double what they were a year earlier. On the supply side, memory chip makers are shifting some factory capacity to other types of chips, especially so-called “flash” memories for consumer electronics. Also, some memory makers continue to have trouble producing chips using the most advanced production processes. Infineon denied a report from DigiTimes that it planned to cut its output of a type of memory chip, DDR DRAM, by 50 percent in April. Infineon is shifting some of its production capacity away from DRAM, but such a drastic cut would be impossible in such a short time frame. Nonetheless, Infineon is pushing the limits of its factories’ production capacity, he said, and is seeing a more than 10 percent rise in contracts to sell chips this month. Infineon expect that prices will further increase in the second half of April.

Computer memory chip prices jumped more than 10 percent on Monday amid growing demand for personal computers and concerns about supply. A surge in buying by PC makers, among other issues, has supported the price rise. All of this has pushed spot prices to nearly double what they were a year earlier. On the supply side, memory chip makers are shifting some factory capacity to other types of chips, especially so-called “flash” memories for consumer electronics. Also, some memory makers continue to have trouble producing chips using the most advanced production processes. Infineon denied a report from DigiTimes that it planned to cut its output of a type of memory chip, DDR DRAM, by 50 percent in April. Infineon is shifting some of its production capacity away from DRAM, but such a drastic cut would be impossible in such a short time frame. Nonetheless, Infineon is pushing the limits of its factories’ production capacity, he said, and is seeing a more than 10 percent rise in contracts to sell chips this month. Infineon expect that prices will further increase in the second half of April.