Memory Bulletin: iPod rumors fuel NAND

For the week ended Sept. 8, spot prices for NAND flash memories jumped for the second consecutive week, due in part to growing demand from one OEM: Apple Computer Inc.

Apple (Cupertino, Calif.), which has been renewing its procurement of NAND flash from leading suppliers, is set to make a major announcement on Tuesday (Sept. 12).

According to the Associated Press, Apple plans to launch a movie download service for its iPod MP3 line. Rumors have been rampant for weeks about the service.

Rumors are also running rampant that Apple could roll out its new and long-awaited video iPod line. Recently, this product was reportedly delayed for introduction.

The Apple news is fueling the NAND market, according to a report from Gartner Inc. (Stamford, Conn.). On average, NAND spot prices went up 3 percent during the week ended Sept. 8, compared to the previous week, standing at $2.21 on a 1-gigabit equivalent basis, according to the market research firm.

Meanwhile, during the same period, DRAMs were up again, according to Gartner. DRAM spot prices rose by an average of 10.6 percent from the previous week, standing at $6.52 on a 512-Mbit basis, according to the firm.

Prices were all over the map, from no increase for PC133 versions of 256-Mbit devices, to up 14.5 percent for 533-MHz versions of 512-Mbit DDR2 parts.

"Demand for most devices was healthy," according to the report.