DRam memory chips makers are facing growing losses as prices fall, analysts in Asia have warned. Cut-throat competition has made it increasingly difficult for the manufacturers to turn a profit this year, and the situation is worsening. Prices of 512Mb DDR2 memory chips slumped to a new low of $1.02 this week, according to memory market research firm DRam Exchange.

The DRam spot price has fallen to $1, and makers such as Powerchip, ProMos and Nanya Technology are facing losses of $100m monthly,

said analysts from Taiwan's MasterLink Securities in a briefing for investors in Taiwan's stock market today. The manufacturers are all medium-sized Taiwan-based chip makers, but companies elsewhere in the world are also expected to suffer serious losses. Continue reading the full report here.