In the wake of the "cabbage price" of solid-state drives (SSDs) in the past two years, SSDs are now poised for another round of price hikes.
According to Nikkei Chinese website, the bulk trading prices of solid-state drives (SSDs) from January to March increased by 10% compared to the previous quarter, marking two consecutive quarters of rise. Memory manufacturers, aiming to improve profits by reducing supply, proposed price hikes, which were accepted by buyers. There's also a trend of early SSD purchases due to bullish price expectations.
In the January to March period, the bulk trading price for TLC (Triple-Level Cell) SSDs with a capacity of 256GB was around $28.5 each, approximately ¥206 RMB, representing a 12% increase from the previous quarter. Larger capacity 512GB products rose by 10%, reaching around $53.5 each, about ¥387 RMB. Both products have seen continuous increases for two consecutive quarters, with the rate of increase widening compared to the 9% rise in prices from October to December 2023.
Due to the previous sluggish market conditions, major NAND flash memory manufacturers, acting as sellers, have reduced production of the primary component and also scaled back the supply of SSDs. As signs of surplus inventory in the supply chain dissipate, prices started to rise from October to December 2023. Major memory manufacturers have indicated plans for further price hikes. Executives from related companies have pointed out, "Compared to the summer of 2021 before the price cuts, the price level is still quite cheap. Memory manufacturers still need to continue improving profitability."
Following a recent earthquake in Taiwan, insiders revealed that the three major memory manufacturers—Micron, SK Hynix, and Samsung Electronics—have successively announced halts in quoting prices to assess the potential impact of the earthquake on production capacity. This move has garnered widespread attention in the industry, with many believing it could be a harbinger of memory price increases.
