First DDR4 price hikes, then GPU, now NAND / flash memory due to Samsung power outage

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The AMD Ryzen launch last year did a great job at lowering CPU and motherboard prices for PC gaming enthusiast, but unfortunately, this was tarred with a 200% surge in the pricing of DDR4 over 2 years.

Over the past year, we have seen GPU prices inflate thanks to cryptocurrency miners, with them buying $776M in GPUs in 2017.

The SSD market has seen some similar trends with the price of some SSDs doubling between June 2017 and June 2017.

Recent news suggests that trend will continue as a power outage at one of Samsung’s fabs has destroyed 3.5% of the global NAND supply for March.

A Taiwan based tech news blog reported that the outage damaged 50,000 to 60,000 of wafers with V-NAND flash memory, which represent 11% of Samsung’s monthly output. The report further estimates that the said amount equates to approximately 3.5% of global NAND output but does not elaborate whether it means wafer output or bit output.

Samsung claims to have a stockpile of NAND chips, which is expected to enable to company to fulfil its short-term shipments commitments.

With the growing demand for NAND from the smartphone market, as well as consumers, adopting SSDs I would expect that this temporary shortage will be at least used as an excuse for escalated prices.

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