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NAND Flash memory may see price increase

Yong Lei September 20, 2012 Channel

I spoke with an industry insider a couple of hours ago and it may be the case that NAND flash memory prices will increase soon.

The four largest NAND flash chip supplies, Toshiba, Samsung Electronics, SanDisk and SK Hynix are discussing the options for raising prices soon due to the growing demand for flash  memory, specifically in the smartphone market.

A source close to Samsung told me that the price could increase by up to 15% within the next 8 weeks.

Sales of smartphones are at an all time high, and Apple have just released their iPhone 5 which sold over 2 million units in the first 24 hours alone. The Galaxy S3 is also a strong seller for Samsung and the demand for NAND flash is still increasing.

Samsung HQ Seoul. Apple have moved their NAND flash orders to competitors.

Analysts have suggested that Apple will sell 50 million iPhone smartphones in Q4 alone, every single phone will have NAND memory installed.

Apple recently shifted all their NAND flash orders to Toshiba, SanDisk and Hynix – lowering their reliance on Samsung, who they have a ‘delicate' relationship with right now. Samsung are still shipping for other partners and their own range of phones.

Kitguru says: We hope that Apple and others absorb this increase into the current retail price of their phones.

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