But how is a global demand shock price fixing?
I wouldn’t build extra factories to produce the extra memory either. Them coming online would be much later than the likely end of the AI bubble.
Probably because it just does not make too much sense right now. I would expect the landscape to shift again soon enough. Maybe they were scraping by for a while and just couldn’t carry on. There are many plausible explanations and ram is a commodity market hence very cutthroat.
Read the article & comments. Seems like they were already kinda heading in that direction anyway, but I doubt it was due to just scraping by so much as the ever-present “maximizing profits” business mandate.
Maximizing profits by increasing price does not work in commodity markets unless you are forming a cartel or monopoly. If your goods are fungible you don’t have customer loyalty.
All of this has happened before, and it will happen again.
https://en.wikipedia.org/wiki/DRAM_price_fixing_scandal
I expected someone selling their cat for ram
I’m sure there have been people who sold some catalytic converters that fell of a truck somewhere to buy RAM.
Hello, fellow Ed Zitron connoisseur.
No idea who that is
Yes, but the US fired regulators and neutered depts. Now that it’s a kleptocracy and price fixing is just considered good business.
But how is a global demand shock price fixing? I wouldn’t build extra factories to produce the extra memory either. Them coming online would be much later than the likely end of the AI bubble.
Which is why after nearly 30 years, Crucial will stop selling RAM to consumers - they’re converting consumer-oriented operations to focus just on commercial customers.
Probably because it just does not make too much sense right now. I would expect the landscape to shift again soon enough. Maybe they were scraping by for a while and just couldn’t carry on. There are many plausible explanations and ram is a commodity market hence very cutthroat.
Read the article & comments. Seems like they were already kinda heading in that direction anyway, but I doubt it was due to just scraping by so much as the ever-present “maximizing profits” business mandate.
Maximizing profits by increasing price does not work in commodity markets unless you are forming a cartel or monopoly. If your goods are fungible you don’t have customer loyalty.