Due to higher than anticipated sales and lower than expected output of NAND memory, 25% of the world wide flash memory production is being consumed by the Apple iPhone and iPod. This will drive prices up for that kind of memory within the year. DRAMeXchange, a market research firm in Taiwan suggested that it could take “about two to three quarters before manufaturers can raise their chip yield rates to a higher level.” With holiday season products starting production now, large amounts of this kind of memory will be used up at a faster rate.
This may lead to slightly higher pricing for newer iPods or iPhones emerging in the coming months. As the current iPods are coming up to their product revision stage, new more pricier versions may arrive before the holidays. In any event, there will probably be more iPods and iPhones purchased as gifts this holiday buying season. Via Engadget.