My heart bleeds for computer manufacturers ...

Started by Totro, July 18, 2005, 07:11:54 AM

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Totro

When you look at this news item you may or may not feel sorry for your favourite computer manufacturer ....

http://news.bbc.co.uk/2/hi/business/4684905.stm

Prices for DRAM drop from $6.00 to $3.00 !!!

Yes folks these are the "Wholesale" market prices for DRAM ... You have to wonder why we the punters pay around $200.00 to $300.00 for these chips ...

There is even a "futures market" for chips and yes the prices are way low, like the examples above  - now, I don't mind manufacturers making a profit, that is what makes the world go 'round,  but - do me a favour - that is an "obscene" markup.

It reminds me of stories about when companies like NIKE & REEBOK sold sports shoes for $100.00 to $200.00 from a manufactured base cost of $3.50 in some third world country.

It's the old story - the packaging and marketing of most products costs more than the product contained in the box ...

Cheers, Totro  :thumbsup:

Panic slowly...

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