According to Korean media, two major flash memory manufacturers, Samsung Electronics and SK Hynix, are planning to cut NAND flash memory production in 2026, even as storage memory demand continues to increase, especially from customers in the field of artificial intelligence and data centers.
That change has raised concerns that the price of SSD hard drives, which has been trending upwards, may even increase further this year. NAND flash memory is the core component in solid-state hard drives, USB flash drives and other storage products.
Therefore, scarce supply may affect personal computers, tablets and some business hardware devices. Analysts believe that the combination of limited supply and changes in production priorities may reverse the stable downward trend for many years in the consumer storage market.
Why does the reduction in NAND output affect SSD prices?
The core issue lies in the re-allocation of production capacity strategy in the memory industry. Samsung and SK Hynix account for more than 60% of global NAND output, which makes their decisions have a great impact on supply.
According to reports, Samsung plans to reduce NAND production by 4.5%, while SK Hynix is expected to cut production by 10.5% by 2026. The reason is very simple, both companies want to prioritize more profitable memory segments such as DRAM and high-bandwidth memory (HBM) used in AI (artificial intelligence) infrastructure.
Reducing NAND supply means that the number of SSDs produced is also less, tightening supply in both the consumer and business storage markets. With AI models and data platforms consuming large amounts of memory and storage capacity, the PC and traditional device market is increasingly fiercely competing to seize the increasingly scarce NAND flash memory.
This may lead to SSDs being more expensive than before regardless of capacity and design if supply is limited. For technology buyers and self-assemblers of PCs, this is unwanted.
Storage components for your next PC configuration or upgrade may be more expensive than expected, especially for those who are used to SSD prices falling steadily in recent years. With both RAM and hard drive prices increasing, self-assembling a new gaming PC right now is becoming less financially efficient than it was a year ago.
