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Guru3D.com » News » NAND Flash Prices Will Continue to Decline Due To Oversupply

NAND Flash Prices Will Continue to Decline Due To Oversupply

by Hilbert Hagedoorn on: 04/16/2018 08:42 AM | source: | 5 comment(s)
NAND Flash Prices Will Continue to Decline  Due To Oversupply

Good news for anything with NAND Flash storage in it. Due to an oversupply in the NAND flash memory market, prices of the chips will continue to decrease, according to market research company DRAMeXchange. 

The NAND Flash market has witnessed a slight oversupply in 1Q18. The growth momentum remains weak in 2Q18 although the demand increases, according to DRAMeXchange, a division of TrendForce. It is expected that the slight oversupply in NAND Flash market will remain and the prices will continue to decline.

In the 2H18, the overall demand will increase due to the peak season. Demand in channel markets will also recover because of the lower prices. The growths in average NAND Flash content per box for smartphones will also drive the steady bit shipment growth.

On the supply side, some manufacturers have slowed down their production expansion in response to the market trend in the first half of this year. Therefore, the next-generation 9x-layer NAND Flash process will not see sizeable shipment until 2019. The Yangtze Memory Technologies Company (YMTC), another focus of the industry, will also have limited impact on the supply in 2018 as well, since the new capacity of YMTC will not be sizeable until 2019.

In sum, the NAND Flash market will see slight oversupply in 1H18, but may change to tight supply in 2H18. The fluctuated prices of NAND Flash products will return to a stable level in 2H18 as suppliers, who own DRAM resources, adopt bundling sale strategy. The price drop of eMMC/UFS, PC/enterprise SSD and other products will be moderated then. 







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Herem
Member



Posts: 87
Joined: 2014-01-30

#5538063 Posted on: 04/16/2018 01:56 PM
On the supply side, some manufacturers have slowed down their production expansion in response to the market trend in the first half of this year.


So it looks like prices won't drop a lot then as the manufacturers will collude to keep supply restricted and prices high.

Fox2232
Senior Member



Posts: 11809
Joined: 2012-07-20

#5538112 Posted on: 04/16/2018 03:47 PM
So it looks like prices won't drop a lot then as the manufacturers will collude to keep supply restricted and prices high.

They are slowing "expansion of production lines", not production itself.

Kaarme
Senior Member



Posts: 2943
Joined: 2013-03-10

#5538139 Posted on: 04/16/2018 05:25 PM
What we would need is an oversupply of DRAM, including GDDR.

sykozis
Senior Member



Posts: 22098
Joined: 2008-07-14

#5538263 Posted on: 04/17/2018 12:54 AM
They are slowing "expansion of production lines", not production itself.

That doesn't mean he isn't wrong....

FerCam™
Senior Member



Posts: 241
Joined: 2005-10-08

#5539072 Posted on: 04/19/2018 05:21 PM
So they are in the needs of some floods like it happened with HDD a few years back

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