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Q4 NOR Flash and NAND Flash Market: Opposing Trends
The growth in the supply of DVD players from China, according to market participants, will contribute to
price stability of low and medium density NOR flash chips over
only 4 quarters of the year. The prices of NAND-flash microcircuits can, on the contrary, significantly decrease
– due to stock sales related to SanDisk’s claims against
According to the President of Professional Computer Technology, Taiwanese
representative of Silicon Storage Technology (SST), demand for 8 and 16 Mbit components
NOR Flash started to increase in late September, along with an increase in demand
to DVD players. Chip demand remained weak throughout the third quarter
– mainly due to global market oversaturation and a sharp decline in supplies
DVD players from China. So, for example, a decrease in the supply of SST microcircuits for this
the reason for the quarter was more than 10 million. pieces.
In terms of NAND flash chips, the rate of decline in chip prices this quarter
of this type may increase. As one Taiwanese distributor notes,
the prices of 1 Gbit components by the end of the quarter may drop to $ 5-6 per
a piece – from almost $ 9 now. After SanDisk accused
ST in violation of certain NAND flash patents, a number of traders and distributors
plan to get rid of microcircuits made by STMicroelectronics and Hynix Semiconductor
until the International Trade Commission makes its decision on
question. In addition, sources believe that the decrease in demand for microcircuits
the shrinking supply of mobile phones will also affect.