HDD shortages and surging AI demand are fueling enterprise SSD scarcity. Suppliers are aggressively raising 4Q25 contract prices over twenty percent, with increases continuing as CSPs prioritize supply.

Key Highlights

• HDD Shortage Drives SSD Demand: Severe shortages of large-capacity Nearline HDDs, due to unexpanded production lines and prolonged component lead times, are forcing North American CSPs to adopt enterprise SSDs for their storage needs.
• Suppliers Aggressively Hike Prices: Despite a surge in SSD urgent orders, NAND Flash manufacturers are reluctant to increase production, leading to tight supply. This has propelled 4Q25 enterprise SSD contract prices, with average increases reaching twenty-five percent, and nearly forty percent for some smaller capacities.
• AI Reshaping Storage: Growing AI services are doubling demand for computing speed and storage capacity, accelerating PCIe 6.0 adoption. CSPs are actively validating large-capacity SSDs, prioritizing supply assurance over pricing.
• Price Increases Expected to Continue: Supply constraints are projected to persist into 2026. Even with increased availability of large-capacity NAND Flash products early next year, inventories will further decline, with another near twenty percent quarterly price increase anticipated in 1Q26.

Table of Contents

1. Suppliers Raised Contract Prices of Enterprise SSD for More Than 20% in 4Q25 under Short Supply of SSD Yielded by HDD Shortages
2. Enterprise SSD Regarded as the Optimal Solution for Speed and Capacity as AI Redefines Storage
   • Enterprise SSD Contract Price Update

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