SSD manufacturers are looking to rebuild their margins: increases of up to +25%?

Week after week, the trend is confirmed and the prices of SSD are clearly progressing on all fronts.

Often mentioned at the end of last year, the upward trend in the prices of NAND memory has concrete repercussions whether on the cost of DDR or that of SSDs.

A tense situation which is good for the main SSD manufacturers, particularly with prices on the final product rising sharply… and it’s not going to get better any time soon.

Upward trend since summer 2023

For years, we have become accustomed to ever more attractive prices on SSDs with a cost per gigabyte which tends to approach – very slowly – that of hard drives.

Price drops logically linked to sustained competition between the main market players and the investments made by the latter in order to modernize their production apparatus. Investments which, however, had a significant cost for these companies. As the English might say, it’s payback time: these players intend to recover their “lost” profits during these prosperous years.

A few weeks ago, we discussed the case of Samsung. The South Korean company has knowingly reduced its production in order to maintain this upward cycle even though demand is not weakening.

Up to 25% off enterprise SSDs

Today, relayed by our colleagues from Wccftechit is TrendForce analysts who confirm the trend with figures that are not very reassuring for anyone thinking of equipping themselves.

Indeed, after an increase of more or less 10% observed at the end of 2023, it is still around 15% which was recorded in the first quarter of 2024. TrendForce is unfortunately hardly more reassuring for the second quarter with an estimate of the increase in the SSD market of between 10 and 15% for individuals while for corporate SSDs, we would be even closer to 25%.

Even more regrettable, TrendForce does not see the situation improving over the rest of the year. Of course, there is no question of pulling out a crystal ball, but its analysts estimate that to reach the optimal price of the different manufacturers, an increase of 40% over the next quarter would be necessary. If you find good deals in this segment, don’t hesitate.

Source : TrendForce, Wccftech