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SSD prices to drop significantly before the end of the first quarter of 2022

Those who are currently thinking about a memory update should probably wait a bit longer. At least if you believe the forecast of the market researchers from TrendForce. They assume that SSD prices are likely to drop by up to 13 percent in the first quarter of 2022.

NAND SSD prices to fall by up to 13 percent

Market researchers at TrendForce have published a new forecast for SSD price trends a. In it, they assume that products with NAND flash will still drop drastically in price in the first quarter of 2022. The talk is of an average of eight to 13 percent.

Previously, the analysts even expected a reduction in prices of ten to 15 percent, but had to adjust this forecast downwards due to the increased demand for PCIe 3.0 products, as well as the lockdown in Xi’an.

Accordingly, client SSDs for private users are to become three to eight percent cheaper, the same applies to eMMC and UFS solutions. The prices of the corresponding storage solutions for smartphones are even to be adjusted downwards by five to ten percent.

SSD prices 2022: Forecast from TrendForce
Image: TrendForce

Lockdown in Xi’an ended

According to TrendForce, one reason for adjusting the original forecast was the pandemic-related lockdown in Xi’an, China, which had a direct impact on price negotiations between NAND manufacturers and buyers. Xi’an serves as a production site for NAND flash memory for manufacturers Micron and Samsung, among others.

Shortly before Christmas 2021, the government had imposed a COVID-19-related lockdown on the city of over a million people, but this has now been declared over. And that was without any particularly high production losses, according to reports.

According to TrendForce, significant supply bottlenecks or price increases are not to be expected, as manufacturers had previously stocked up on NAND flash. Combined with the current fairly low demand, this is now resulting in a drop in prices in the SSD segment, it said.

PCIe 3.0 demand increased

At the same time, PC OEMs are said to be currently ordering more PCIe 3.0 SSDs, which in turn is related to the reduced shipment volume of Intel Alder Lake CPUs with PCIe 4.0 connectivity.

PCIe 4.0 SSDs can also be used on a PCIe 3.0 interface thanks to backwards compatibility, but the prices are still significantly higher here, which increases the demand for PCIe 3.0 counterparts.

However, the demand for NAND flash in the smartphone segment looks different. There is hardly any demand here at the moment, which is why the large, accumulated inventories are hardly emptying – which of course also affects the SSD price.

SSD prices are currently at a record low anyway. Less than 10 cents per gigabyte storage volume is currently common, while even SATA SSDs can be bought for as little as 7 cents per gigabyte. In combination with the drop in prices, we should see some real bargains in a few weeks.

Simon Lüthje

I am co-founder of this blog and am very interested in everything that has to do with technology, but I also like to play games. I was born in Hamburg, but now I live in Bad Segeberg.

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Those who are currently thinking about a memory update should probably wait a bit longer. At least if you believe the forecast of the market researchers from TrendForce. They assume that SSD prices are likely to drop by up to 13 percent in the first quarter of 2022. NAND SSD prices to fall by up … (Weiterlesen...)

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