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A China Factory Fire Could Make Your Gadgets More Expensive This Year

Skhynix

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Everything from smartphones to laptops to tablets could get a little more costly due to a fire this week at a Korean firm’s factory in Wuxi, China, where a substantial portion of the world’s memory chips are made. The Wednesday inferno at SK Hynix’s fabrication facility sent the price of benchmark 2-gigabyte Dynamic Random Access Memory (DRAM) up 19% to a three-year high.

High demand from Chinese tablet and smartphone manufacturers has already caused a spike in DRAM prices this year, with prices nearly doubling from November to May. The cost of the industry standard 2-gigabit DRAM jumped $0.30 to $1.90 the day after the fire, and rose another $0.10 to $2 on Friday. Read more…

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