You can’t count on a cheap SSD. The NAND memory market is bouncing back
We don’t have good news for people who were counting on SSD promotions. The actions of NAND producers are bringing results, and the oversupply of chips can be forgotten.
Last year was the perfect time to buy a new one SSD, because they were record cheap. It’s all because of oversupply NAND memory on the market. However, all producers have reduced production and this is bringing tangible results. We are talking not only about rising prices of semiconductor media, but also about better financial results.
Samsung is the best and Micron is the worst
TrendForce reports that NAND memory industry revenues grew 24.5% quarter-over-quarter, reaching $11.49 billion in the fourth quarter of 2023. This growth is attributed to the stabilization of final demand stimulated by year-end promotions, along with the expansion of orders in the component market.
It is expected, that NAND memory industry will see another 20% revenue growth in the first quarter of 2024. This despite the fact that traditionally this period is not considered the best season. All because of constant price increases and larger orders from customers.
For manufacturers, NAND performs best Samsung. Despite not fully fulfilling customer orders, delivery volume increased 35% quarter over quarter, increasing revenue to $4.2 billion. SK hynix lags behind Samsung, enjoying revenue growth of 33.1% to $2.5 billion.
Western Digital took note a slight 2% decline in shipping volume, but a 10% increase in ASP (average selling price), which led to a 7% increase in revenue to $1.7 billion. Kioxia saw a slight increase in shipments and an 8% increase in revenue to $1.4 billion in the fourth quarter of 2023.
It’s the worst Micron, which significantly reduced supply to improve profitability. This led to shipments falling more than 10% quarter-over-quarter and revenue declining 1.1% to $1.1 billion. However, Americans predict a 15-20% annual increase in demand for NAND chips this year.
