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httpz • yesterday at 9:57 PM • 1 reply • view on HN

The supply isn't fixed. A new plant takes 3-5 years to build and cost tens of billions. DRAM companies don't always know where the demand will be when the next plant completes. 2 years ago there was too much supply so DRAM price hit rock bottom. So DRAM companies held back on investing in new plants so here we are now.


Replies

seizethecheese • yesterday at 10:06 PM

The comment said "relatively fixed" and a charitable reading that "relatively" here means in the short run.