The price of SSDs will fall up to 8% due to an excess supply of NAND memory

A TrendForce report ensures that the price of SSDs going to drop up to 8% during the third quarter of the year, and explains that the main reason for this decrease is found in an excess supply of NAND Flash memory, a basic component for the manufacture of this type of storage solutions.

The demand for SSD storage units has begun to drop significantly, a reality that seems to be motivated by several factors, although the most important that we can confirm are back to the office (albeit partial in some cases) and rising inflationwhich is causing consumers to try to reduce their expenses as much as possible.

If we have a falling demand and a high supply of NAND Flash memory, we find an ideal cocktail for prices to fall, although it seems that this will not affect professional SSD storage units at the moment, since according to TrendForce’s forecast the price of business SSDs will remain virtually unchanged compared to the second quarter of the year.

The forecast provided by TrendForce indicates a drop in the price of eMMC and UFS units, which will range between 3% and 8%, a 3% to 8% drop in the price of consumer SSDs, and a 5% to 10% drop in the price of TLC-type 3D Nand Flash memory wafers. per cell) and QLC (four bits per cell). The price of enterprise SSDs would remain unchanged, as we have said.

It is worth asking why these SSDs will remain unchanged in price if, as we have seen, the cost of 3D NAND Flash TLC and QLC memory wafers is going to be significantly reduced, and I think that in the end it would all come down to a question of offer and demand. By this I mean that the demand for professional SSDs will most likely remain high, and the stock level may not be as high as its mainstream brethren.

With everything, a change in trend is already visible compared to the second quarter of the year, where the prices of this type of SSD units increased between 5% and 10%. Looking at the current scenario, the forecast for the fourth quarter may leave us with a possible drop in prices.

Related Articles

Leave a Reply

Your email address will not be published.