Institution: With increased production and weakened demand, SSD prices are expected to decrease by 10% by the end of the year
According to the latest report from TrendForce, the price of client solid-state drives (SSDs) is expected to decrease by 5% to 10% in the fourth quarter of 2024. The report states that due to the combination of increased production and weakened demand, consumers are expected to benefit from price declines. Other segmented markets for NAND flash memory products, such as eMMC/UFS and 3D NAND wafer buyers, are also expected to see price declines before the new year. However, enterprise SSD buyers may experience lower single digit percentage price increases.
Looking back at the third quarter of 2024, there were some small but popular price reductions in client (consumer) SSDs. However, a report from TrendForce suggests that pricing competition for SSDs will become more intense in the remaining time of 2024. Therefore, if the situation develops as expected, consumers' budgets can be used to purchase larger capacity SSDs.
There are two main reasons for the price decline. Firstly, flash NAND manufacturers have more and larger capacity NAND chips than ever before. Some economists may oppose the idea that companies can artificially reduce production. However, the development momentum of the enterprise market is good, so for industry participants, a slight shift in attention and resources may be better.
There are two main reasons for the price decline. Firstly, flash NAND manufacturers have more and larger capacity NAND chips than ever before. Some economists may oppose the idea that companies can artificially reduce production. However, the development momentum of the enterprise market is good, so for industry participants, a slight shift in attention and resources may be better.
TrendForce also pointed out that weak demand is the expected reason for the downward adjustment of NAND pricing. The company stated that AI PCs (artificial intelligence computers) have not reached the expected level, and the market is still waiting for eye-catching AI applications.
Another NAND flash business area that consumers are concerned about - eMMC/UFS, typically used for mobile devices - may see the largest price drop in the fourth quarter. TrendForce stated that the smartphone market remained relatively stable in the third quarter, and in the fourth quarter, the price of this important component may decrease by 13%. TrendForce explained that this is mainly due to limited trading volume caused by equipment manufacturers consuming inventory and resisting price increases
Another NAND flash business area that consumers are concerned about - eMMC/UFS, typically used for mobile devices - may see the largest price drop in the fourth quarter. TrendForce stated that the smartphone market remained relatively stable in the third quarter, and in the fourth quarter, the price of this important component may decrease by 13%. TrendForce explained that this is mainly due to limited trading volume caused by equipment manufacturers consuming inventory and resisting price increases