That fire at the SK Hynix plant can't really be blamed for this anymore

Jan 15, 2014 15:29 GMT  ·  By

Back in September, SK Hynix' DRAM factory in Wuxi, China was hit by a fire, causing a production halt. This, in turn, threw off the world's whole supply chain. Apparently, we'll be feeling the effects throughout the whole year 2014.

Well, maybe not. Recent reports say that the fab has resumed full operation.

And yet it is still believed that supply will stay tight throughout 2014.

It's kind of amazing really. That one SK Hynix fab accounts for 10% of the world's DRAM wafer production.

So while operations are back on track, the decrease in world inventories caused by the temporary cease in manufacturing is still taking its toll.

That DRAM makers had already reduced their monthly supply capacity when that incident happened didn't help.

So while there won't be any real shortage for consumers to feel, prices might climb somewhat still.