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According to TrendForce’s analysis, the global NAND Flash bit supply is expected to grow by at least 47% annually on average from 2012 to 2016. During the same period, bit demand in the worldwide NAND Flash consumer market will also increase by an average rate of 46% every year. These projections indicate that the NAND Flash industry will continue to grow rapidly.
The global smartphone demand has been stagnant since the fourth quarter of 2015. All branded vendors therefore have lowered their shipment targets, and the entire market spent about three months on channel inventory digest. Avril Wu, smartphone analyst for the global market research firm TrendForce, said the stock up of Chinese branded smartphones started to pick up in the middle of February, as the inventory adjustment period came to an end.
Major Chinese memory manufacturer XMC will begin the construction of a new wafer fab at the end of March. This fab is expected to enter production by the start of 2018 and its main strategic product at the outset will be 3D-NAND Flash, the most advanced Flash memory product available on the market.
The latest research from DRAMeXchange, a division of TrendForce, reports quarterly decline in the average contract price of mainstream PC-Client OEM SSDs in the first quarter of 2016. By architecture, MLC-based SSDs and TLC-based SSDs respectively suffered price declines of 10~12% and 7~12%.
Set against the prior quarter, the contract prices of NAND Flash memory chips fell by 9~10% in the fourth quarter of 2015 as the market experienced oversupply. Prices of eMMC and SSD products also fell by 10~11% quarterly due to shipments of OEM devices - such as smartphones, tablets and notebooks - being weaker than expected in the same period.
