Time flies! We are in September. School has started again, and leaves are beginning to fall, but memory prices do not. At least not any longer. Just as we estimated at the beginning of the year.
Why? Because manufacturing output is still low – according to TrendForce Samsung cut back NAND production by as much as 50% in September - and this inventory clean-up is taking effect. Trendforce expects a mild price surge of 5% in NAND for Q4 2023. But looking at the demand side for 2024, Trendforce anticipates Year-over-Year bit demand growth rates for DRAM and NAND Flash of 13% and 16%, respectively.
So if you are still hoping memory prices keep falling or even stay this low for much longer, then you might wait for pigs to fly. Yes, we cautioned to be careful with this term when it comes to semiconductor innovation (if you missed it, read about it here https://bit.ly/3Lu71Xi). Who would have thought that DDR5 would come in 32Gb so soon? Or LPDDR4x would become so successful?
But when it comes to memory market development and prices, we are quite confident we are right. After all, we know memory.
Read the latest edition of our newsletter here: September Newsletter
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