The NAND flash memory market in 2022Q3 is oversupplied

In the second quarter of 2022, due to the impact of the production material contamination incidents of Western Digital and Kioxia, the price of NAND flash memory turned from falling to rising. However, with the recovery of production, the output of Western Digital and Kioxia is also increasing month by month. However, the demand for consumer electronic products such as smartphones and notebook computers are weak, which makes the NAND flash memory market begin to experience an oversupply situation. According to the latest survey report released by TrendForce, the price of NAND flash memory is expected to fall within 5% in the third quarter of 2022.

For enterprise SSDs, as data center purchase orders remain strong and inventory levels are very reasonable, purchases are expected to increase by 10% sequentially in the third quarter of 2022, while prices will remain at current levels.

In terms of eMMC, although the demand for network products is still relatively optimistic, the demand for Chromebooks continues to decline, and the price of eMMC cannot be stabilized. It is expected to decline by 3% to 8% in the third quarter of 2022.

In terms of UFS, the trends of sluggish smartphone shipments and cooling of the consumer market remain unchanged, suppressing the growth trend of bit demand, even if suppliers adopt a price reduction strategy to stimulate purchases, the effect is still limited, and prices are expected to fall by 3% to 8% in the third quarter of 2022.