Class action building against Samsung, SK Hynix over RAM price hikes

A law firm is now building a class action against Micron, Samsung and SK Hynix, alleging that the three semiconductors companies have colluded to lock in high prices of Dynamic RAM chips.

Hagens Berman contends that the trio, which have control of 96 percent of the DRAM market, have run the fixing scheme from June of 2016 up until February 1 of this year. Typical prices for a 4GB unit in 2014 were marked at $32.75. They fell to a low of $12.50 in June of 2016 before they jumped 130 percent in the subsequent period.

Micron, Samsung and SK Hynix have all telegraphed in the intervening time that they were each focusing not on “market share” but on “profitability.” Goldman Sachs analysis claimed that Samsung had little incentive to boost production in order to keep on the favorable side of the supply-demand curve and keep its smartphone prices up.

China’s National Development and Reform Commission began investigating DRAM price increases late last year. It was in February that Samsung agreed with the NDRC to boost supply. SK Hynix recently announced that it would also increase production capacity.

Five signing plaintiffs owned a Lenovo Yoga laptop, a MacBook Pro, a Galaxy S7, a Galaxy S8 and a Moto Z Play. If you bought a smartphone or tablet or many a laptop during the aforementioned period, you most likely have a DRAM chip inside your device from any of Micron, Samsung and SK Hynix and may be entitled to join the class. You can do so at the source link below this story.

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Jules Wang
Jules Wang is News Editor for Pocketnow and one of the hosts of the Pocketnow Weekly Podcast. He came onto the team in 2014 as an intern editing and producing videos and the podcast while he was studying journalism at Emerson College. He graduated the year after and entered into his current position at Pocketnow, full-time.