The Price of NAND really went up! All Module Factories start to stock up and Limit supply
On July 8th, Taiwanese memory-module maker ADATA denied rumors that it was suspending shipments of SSD and said that it would limit supplies and give priority to existing customers in response to the current rise in NAND Flash prices while the outlook remained to be seen.
As NAND Flash suppliers continue to tighten supply and Japan embargoes photoresist and other three key semiconductor materials to South Korea, the market set off a wave of rush to purchase NAND Flash and its price began to rebound.
Later, it’s reported that ADATA was bullish on SSD market because of NAND Flash price beginning to strengthen. So the factory informed the customer that SSD products were temporarily not shipped. However, ADATA announces that the delay of shipment is a rumor.
Looking ahead to the third quarter, ADATA considers that the decrease of NAND Flash’s price has come to an end. According to the preliminary estimates, the price of NAND Flash will be increased within 10% to15% and the price of SSD products will be also lifted at the same pace. In addition, with the delay and reduction of expansion of big upstream factories and the demand of traditional peak season, the price of DRAM and NAND Flash is expected to perform better. Besides, customers stocking momentum in memory module and SSD products improved and the revenue of company are likely to pick up steadily in the third quarter.
In the first half of this year, OEM focuses on cutting overcapacity of all kinds of products and the stocking momentum is weak. The average price of NAND Flash on contract has already declined about 20% for two consecutive quarters. According to the report of DRAMeXchange semiconductor research center in June, the price of NAND Flash in the third quarter is hard to bounce owing to the rise of uncertainty of market.
But, it is the uncertainty of market that results in the rise of NAND Flash’s price recently. In addition to the Japanese-Korean trade war, the uncertainties also include the influence of power outages at Toshiba’s factory.
Toshiba’s Power Outage and Japan’s Sanctions to South Korea-The Global Price of Memory and Flash Memory Chips Maybe Pick Up