October 2, 2025 /SemiMedia/ — NAND Flash contract prices are projected to rise by 5% to 10% in the fourth quarter, according to the latest analysis from TrendForce, reversing earlier expectations of a price consolidation.

Supply conditions have improved after chipmakers cut output and reduced inventories in the first half of the year. Major suppliers are now shifting production toward higher-margin products, easing pricing pressure and reducing low-end competition.

On the demand side, while consumer markets remain weak, enterprise storage demand is accelerating. Server OEMs and cloud service providers cleared inventories earlier this year, and stronger shipments of NVIDIA’s Blackwell GPUs, coupled with tight HDD supply, are driving demand for enterprise SSDs. Generative AI continues to fuel storage needs, prompting suppliers to expand QLC NAND production.

In segment markets, client SSD supply and demand have moved closer to balance, though high-capacity QLC products remain undersupplied. Enterprise SSD demand for drives over 120TB is surging, leading to a strategic shift toward more QLC output. eMMC and UFS demand is soft, but suppliers facing margin pressure are expected to maintain higher prices. NAND Flash wafer supply has tightened temporarily during process transitions, lifting spot prices.

Looking ahead, faster QLC adoption, continued growth in enterprise storage demand, and persistent HDD shortages are expected to further strengthen the NAND Flash market. Suppliers are moving from price-based to value-driven competition, with a stronger focus on high-margin products.