According to DRAMeXchange's survey, the average NAND Flash contract price fell by some 3 to 5% in early October and remained stable in some cases. Although the sales of long holidays in mainland China were better than expected, memory cards and flash drive players are still continuing. Efforts have been made to reduce inventory levels to wait for warming up of stocking needs at the end of October. Under the wait-and-see atmosphere, the market transactions became lighter and some NAND Flash contract prices showed a slight decline in early October. DRAMeXchange pointed out that suppliers are currently expecting year-end holiday stocking demand from system product customers to remain stable until early November, and some suppliers have also cut prices significantly in September, so prices of some products are in early October. Maintain relatively stable conditions.
In the first half of November, after the peak of the year-end holiday season for downstream customers, the market purchase demand will begin to slow down. It is expected that by the beginning of January, the downstream customers' demand for Chinese Lunar New Year holidays will only be warmed again. Although most of the NAND Flash suppliers' 2x nm & 3xnm new process technologies and TLC's output share will continue to increase in 4Q10, some suppliers have considered slightly slowing output growth to mitigate the effects of the off-season effects.
In addition, some system product customers will launch new smart phones and tablet computers with high NAND flash storage capacity in 4Q10 to 1Q11, which will also help alleviate the off-season effect and relatively muted demand for memory card customers. Therefore, DRAM eXchange anticipates that the mainstream NAND Flash contract price in 4Q10 will show a gradual decline due to seasonal factors and the effect of the new product's market-to-market factors. However, due to differences in customer structure and order status, different suppliers are There will still be differences in pricing strategies.
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