A little over two months ago, several sources reported that the prices of NAND chips were on the way up. A new report from Trendforce claims that manufacturers will increase the prices of NAND circuits by up to 50 percent. The reason is stated to be that NAND circuits have continued low profitability in contrast to DRAM circuits.
With impending price increases on the circuits themselves, the prices of consumer SSDs will increase in the coming year. The report tells us that Samsung is still the largest manufacturer of NAND circuits with just over 30 percent market share.
Samsung has continued to throttle production and is now said to be at 50 percent of maximum capacity in its manufacturing. This as the manufacturer wants to lower the global inventory in order to eventually get stabilized prices in 2024.
Trendforce reports that third quarter revenue for global NAND manufacturing increased by 2.9 percent compared to the previous quarter. At the same time, that result is expected to increase to 20 percent when the fourth quarter of 2023 is reported. The increase is expected to be the result of the aforementioned strategy of restricting supply.
How much this affects consumer SSD prices remains to be seen, but we wouldn’t be surprised if there is an upward push in the coming year.
2024-01-02 19:55:03
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