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Press Release

Year-end hesitated view triggered the flat and 1%-5% slight average contract price decline for 2HDec.

Thursday , 12 / 24 / 2009

2009/12/24-------2HDec NAND Flash average contract price basically remains flat while 32Gb/16Gb MLC average contract price slightly decline 1%-5% given the slower procurement momentum for some downstream clients during the Christmas vacation. Meanwhile, downstream customers will try to lower the inventory level for the year end accounting settlement purpose and this movement resulted in the weaker NAND Flash restock demand as well. That is, 2HDec. NAND Flash contract price will indicate the partially flat along with mild decline.

According to DRAMeXchange, most downstream customers will evaluate the year end holiday sales condition and inventory level to finalize their inventory replenishment for Chinese Lunar New Year Break sales. Most NAND Flash suppliers will continue increasing the output portion in 3xnm process technology and 3-bit/cell MLC products in 1Q10. Market expect the recovering January inventory replenishment effect to help buffer the 1Q slow season effect and NAND Flash pricing trend.  However, the NAND Flash market may stay at the consolidation in the short run due to the year-end slower transactions and wait-and-see  views toward the following market demand ahead of the year-end.

Figure-1 32Gb MLC NAND Flash contract price trend

Figure-2 16Gb MLC NAND Flash contract price trend


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NAND Flas december 2009 2H DRAMeXchange EN

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