iSupply Corp has announced results of its survey on the global DRAM market in the third quarter (3Q) of 2007. Global DRAM sales declined 14% year-on-year (YoY), but increased 8.2% quarter-on-quarter (QoQ) to US$7.964 billion.

The key factor that curtailed the growth of the DRAM market is the continuing high inventory level in the supply chain, which was generated in the first half of 2007, iSuppli said. Average DRAM pricing per Mbyte lowered 1.5% QoQ. This result went below the 3% QoQ growth iSuppli had predicted for the 3Q of 2007.

By manufacturer, sales greatly rose at Hynix Semiconductor Inc of Korea, which was ranked second. Sales soared 26% YoY and 19.6% QoQ to US$1.8157 billion. Its share expanded by 2.2 points QoQ to 22.8%.

Hynix was the only company that saw sales rise YoY among top five DRAM manufacturers. iSuppli said Hynix's remarkable growth resulting from increased shipments of high-priced DRAM for graphics and consumer applications and the higher than average DRAM pricing for their products.

Samsung Electronics Co Ltd of Korea continued to top for the second straight quarters with sales dropping 16% YoY to US$2.232 billion. Its market share was 27.7%. Ranked after Hynix were Qimonda AG of Germany, Elpida Memory Inc and Micron Technology Inc of the US.

Their sales declined 37% YoY to US$974.1 million, 1% YoY to US$930.3 million and 13% YoY to US$845.9 million with market shares of 12.2%, 11.7% and 10.6%, respectively.

Global DRAM bit supply only increased 9.8% QoQ in the 3Q, down from a 23.2% rise in the 2Q. Bit supply growth slowed because the DRAM market has begun to shift towards rebalancing its supply and demand conditions, which should bolster pricing and supplier profitability in the future, according to iSuppli's analysis.

iSuppli forecast the global DRAM market will mark a 5% YoY sales fall to US$32 billion for 2007.