The price increase effect of NAND Flash broke out, and the most important terminal product of NAND chips, solid-state drives (SSDs), recently rose by 9%, which is the first price increase in the past nine quarters, and will continue to rise next year.
With the eruption of NAND chips and terminal products, manufacturers such as Phison, ADATA, Dianxu, and Shiteam have made great supplements, not only enjoying the benefits of low-price inventory price increases brought by the rise of NAND chips, but also making "two-headed earnings" with the strong rise of SSD.
The industry bluntly said: "The most profitable time has come." ”
The storage market has faced severe challenges for more than a year, and it has plummeted, resulting in the operation of major chip manufacturers such as Samsung, SK hynix, Micron, and Kioxia, which have fallen into a low ebb and suffered serious losses. In order to defend the best and reverse the disadvantage, Micron, SK hynix, and Samsung have successively reduced production.
With the recovery of terminal demand and the effectiveness of large factories in reducing production, NAND chips have taken the lead in stopping the decline and rebounding, and the recent price increase effect has spread to the downstream, and the upstream and downstream prices have risen, which means that the NAND industry has been improving all the way.
In particular, SSD, the most important terminal application of NAND chips, has attracted the most attention.
SSDs are an important product line of manufacturers such as Phison, ADATA, and Shipgroup, which can not only enjoy the benefits of low-cost inventory, but also directly benefit related industries
Taking Phison as an example, NAND's related module business accounts for 6 to 70% of its revenue, and actively launches enterprise-level SSD products, targeting the field of cloud servers and AI servers, and the next-generation GEN5 enterprise-class SSD products will be launched next year.
On the basis of both IC design revenue and NAND flash module sales revenue, Phison has made a lot of money on both sides of this wave of price increases.
Judging from the performance in November this year, the annual growth rate of Phison's overall NAND storage bit total shipments exceeded 80%, a new high for the same period, indicating that the overall market demand has rebounded.
ADATA, Taiwan's largest module manufacturer, currently accounts for 35% of its SSD revenue, and is also one of the big winners.