Samsung Contemplates Price Adjustment for NAND Flash Memory Amidst Market Shift

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Reports indicate that Samsung is deliberating a significant price adjustment concerning NAND flash memory, impacting various product categories, including smartphones and SSDs. The current decline in SSD pricing stems from an oversupply of NAND Flash memory combined with muted demand.



However, Samsung and other key industry players are contemplating a price increase for their respective offerings. Sources originating from South Korea reveal that Samsung has already reduced its NAND Flash memory production by up to 40% since the beginning of the year. Initially, this reduction was offset by low demand and surplus inventory. However, inventories have their limits, and as stock levels diminish, Samsung may capitalize on the situation.

Notably, DRAM memory prices have experienced an increase of approximately 10%. This trend may prompt companies to further curtail NAND Flash memory production in favor of boosting DRAM memory output. If Samsung finalizes its decision to raise prices, it is plausible that other industry leaders will follow suit in an effort to bolster their revenue streams. A direct price escalation appears to be Samsung's primary viable strategy to influence the prevailing market dynamics. Given the credibility of this information and the limited success of production cuts in achieving the desired results, there is a significant likelihood that Samsung will adopt this pricing strategy.

While SSDs are presently competitively priced, this pricing trend may not be sustainable in the long run. Consequently, for those considering the acquisition of SSDs, it would be advisable to expedite their purchase decisions in anticipation of potential price increases.

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Source: BusinessKorea

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