Demand for 3D NAND reminiscence dropped within the third quarter resulting from softening demand for PCs and smartphones. In consequence, each common promoting costs (ASPs) of flash reminiscence and its bit shipments collapsed, which severely affected the income of 3D NAND makers.
Makers of 3D NAND provided $13.71 billion price of reminiscence in Q3 2022, a drop of 24.3% quarter-over-quarter, in accordance with a report by TrendForce (opens in new tab). It’s because volumes that 3D NAND bit shipments declined by 6.7% sequentially, whereas common costs fell by 18.3% QoQ as 3D NAND makers needed to scale back costs to make their merchandise extra interesting.
Samsung retained its management place because the No.1 maker of NAND flash throughout the quarter, with a 31.4% market share. In the meantime, its 3D NAND income decreased by 28.1% sequentially. Samsung, which sells a few of the most effective SSDs round, suffered from each bit shipments and ASP declines within the third quarter of 2022.
In contrast, Kioxia managed to extend its market share from 15.6% in Q2 to twenty.6% in Q3. Moreover, the corporate’s 3D NAND income totaled $2.83 billion, a lower of solely 0.1% quarter over quarter, primarily based on knowledge from TrendForce. Whereas Kioxia’s ASPs declined considerably throughout the quarter, the corporate offered boatloads of reminiscence for shopper purposes.
SK Group’s NAND flash reminiscence gross sales — which controls SK Hynix and Solidigm — declined by 29.8% quarter-over-quarter to $2.54 billion. In consequence, the corporate’s share dropped 18.5% from 19.9% within the second quarter. As well as, SK Group’s place weakened considerably in Q3 as a result of gross sales of reminiscence and solid-state drives for shopper merchandise (offered primarily by SK Hynix) and shipments of enterprise-grade SSDs (offered primarily by Solidigm) slipped.
Western Digital and Micron carried out equally within the third quarter as their gross sales declined 28.3% and 26.2% quarter-over-quarter, respectively, and each firms misplaced some share to Kioxia in Q3 2022.
Smaller makers of 3D NAND suffered probably the most within the third quarter as their gross sales collapsed by 37.1% QoQ. In consequence, they now management 4.6% of the market, down 1% from Q2 2022.
TrendForce expects 3D NAND income to decrease within the fourth quarter as demand continues to stay mushy, and cuts of 3D NAND wafer begins will not be forecasted to carry fast reduction. In consequence, analysts count on contract 3D NAND costs to say no by 20% – 25% QoQ resulting from sluggish demand and lockdowns in China. Moreover, Samsung’s plans regarding 3D NAND output in This autumn and onwards are unclear as, in contrast to its rivals, it has not introduced any cuts.