Samsung Electronics has predicted an oversupply of DRAMs later in the third quarter citing weaking sales of personal computers worldwide.

The oversupply will run until the first quarter of 2011 if PC sales continue to slow down, Oh-Hyun Kwon, head of Samsung Electronics' chip business, told reporters during the company's annual mobile solutions forum in Taipei, Taiwan on Tuesday.

Kwon said worldwide DRAM production will grow in the third quarter with Samsung contributing to the growth through an expanded DRAM production line. The company will use 35nm technology in DRAM production.

If PC demand will not pick up, inventories will go up and prices will fall, warned Kwon.

Kwon also said Samsung will also build a new line for DRAM, NAND and next-generation memory products. Demand for NAND flash memory is driven by smartphones and tablet computers, he said.