One of the keys to the advancement of technology is free competition, especially because it forces companies to be better than others in terms of price and performance. As soon as a monopoly is reached on a market, we see that new products are less and less exciting, prices rise, general disinterest increases and everything stagnates. Is it a good thing to cut memory manufacturers in China?
It’s no secret that China and the United States are in a trade war. The answer to the latter? Limited access to technology, additional tariffs and even bans on the sale of certain brands of the most populous country in the world. All this with the aim of protecting one of the most economically successful industries and the one most linked to defence. However, ordinary users in a small country called Europe should not worry about these issues. Except, of course, when we have to buy components for our computer.
RAM and flash memories, the Chinese Trojan horse
Granted, brands like NVIDIA, Intel, and AMD have a head start when it comes to processor technology compared to the big Chinese brands. However, other PC components are equally important and do not require such advanced manufacturing processes. We are talking about memories, whether volatile or RAM or non-volatile for storage.
Let’s not forget that for example YMTC it is not a south korean companyfeatures the densest NAND flash memory for SSDs and memory cards on the market, that’s more storage than the competition. Without going any further, Apple has started to use this Chinese manufacturer’s flash memory in its computers and mobile phones, which has led them to receive a warning signal from the American authorities. The fact is that China is starting to become very proficient in memory chips and everything indicates that its massive entry into the PC component market will go in this direction.
Because the RAM has to interface with the central processor, it means giving Chinese companies access to a deal with big US companies. This is not to the liking of the US administration, which prefers to maintain relations with companies such as Micron, Samsung, SK Hynix and other South Korean companies. A country which, at the political level, is almost an American colony.
Is it good to have fewer options for the end user?
The best way to enter a highly competitive market with the same or a similar product is to do so on price, and if there’s something memory makers have been doing for years, it’s agree on prices and availability of RAM and NAND Flash
On the other hand, unless we are talking about memory with an internal processor, which is not used in personal computers. RAM memory is not an issue in the face of spying data and information, however, the fact that an SSD needs a Flash controller to manage it and it is actually a a processor with its RAM memory is what makes Americans distrust such devices. However, we believe that in a few years we will see this component integrated into the system processor and not as a separate part.
In any case, for the big chip manufacturers and since Neither TSMC nor Intel make memory, Having more options means being able to secure contracts for your components, such as graphics cards, more cost-effectively. Will we see Chinese souvenirs in stores and with them a drop in the price of storage in SSDs? Will the average amount of RAM on systems increase?
The price of laptops will continue to rise
Another consequence of the blockade has to do with the price of laptops, after all, despite the tense political relations between the two Chinas, the reality is that companies like ASUS, GIGABYTE and other brands work very closely with Chinese manufacturers. and it wouldn’t be surprising if in laptops and when the time comes, in order to get cheaper parts in the form of memories for system RAM and SSDs, they end up buying from Chinese vendors. In particular, we have cases like Lenovo, which is directly a Chinese company.
In any case, RAM and flash memory costs have been in the midst of an artificially controlled market for some time, with very high margins and availability, enough for a third party to blow up the market and China not going to be a charity nun in this regard. That is to say, they will slaughter their South Korean rivals. Of course, if the United States does not do everything possible to protect its partners.
