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2025-09-24 Update From: SLTechnology News&Howtos shulou NAV: SLTechnology News&Howtos > IT Information >
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Shulou(Shulou.com)11/24 Report--
According to DIGITIMES, the price of NAND flash memory will fall further in the second half of 2022 as suppliers are under increasing pressure to deal with excess inventory.
Image source: DIGITIMES
Sources pointed out that NAND flash chip suppliers now face four to five months of inventory. Chip prices will fall rapidly in the second half of this year, with quarterly prices falling by nearly 20 per cent.
According to sources, the price of NAND flash memory is likely to continue to decline in the first half of 2023. At present, suppliers are becoming more cautious about data center demand, and the overall demand in the end market is still low.
In addition, sources pointed out that SSD's inventory accumulated throughout the PC supply chain. Inventories by brands such as Asustek have remained high since the second quarter and continue to adjust orders for SSD and other components downwards.
Despite the rapid slowdown in customer orders, NAND flash chip suppliers are still reluctant to limit production or adjust their upcoming capacity expansion plans, according to sources. This is because the price of NAND flash memory is not lower than their variable cost, and their operating scale and production performance are not the same.
However, KS Pua, CEO of Group Electronics, said in a previous report that the oversupply of NAND by the end of 2022 is unlikely to ease, but if market prices continue to fall, NAND flash memory suppliers may seriously consider cutting production in the fourth quarter.
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