Many NAND flash memory manufacturers have made plans in advance and plan to increase product quotations in April. With the collective actions of many storage giants, the price of NAND flash memory has increased beyond previous market expectations.The news pointed out that a power outage occurred in Micron's Singapore factory in January, which damaged some wafer production capacity. Although it has not been publicly explained, it has affected subsequent supply, and the average price of new orders has increased by about 11%.
SanDisk has sent a letter to notify that it will increase its quotation on April 1. Samsung and SK Hynix also plan to follow up with price increases from April. Previously, these two manufacturers have adopted production reduction measures to reduce production in the first quarter of 2025 by more than 10% compared with the second half of 2024.
Yangtze Storage's Zhidui will also increase channel delivery prices from April. The specific range is unknown, but it may exceed 10%.
In addition to production cuts and emergencies on the supply side, strong growth on the demand side is also an important factor driving price increases. With the rise of the AI boom, enterprise-level storage has increasing demand for larger-capacity SSDs, which further consumes storage capacity.
In order to cope with the oversupply problem in the market, memory manufacturers such as Micron, Samsung, SK Hynix, and Kioxia will restart production reduction measures starting from the fourth quarter of 2024.
Although the market had previously expected that NAND quotations would continue to fall in the first half of 2025, since March, various original manufacturers have been frequently planning price increases, showing that the market is changing faster than expected.