Upward Spirals in Prices of Memory Chips Add More Enduring Power to Boom Cycle

Contract prices of NAND flash memory chips are expected to grow in a range of 5-10% on average in the third quarter, compared with the price moving trend in the second quarter, according to the market research firm

Booming demand across all applications from notebook PCs to servers are held responsible for the price hike.

For example, demand for SSD, or solid state drives are growing in data center server market, as  and cloud computing service providers will be expanding their computing infrastructure.

Combing built with a collection of NAND flash memory chips and controller chips, SSDs are crucial building blocks for server computers serving as a main storage device.

Prices of NAND flash memory chips keep going up on solid demand

True enough, TrendForce forecasts that demand for SSD would grow, driving up contract prices by 3 to 8%. Especially, prices of enterprise SSDs will jump by 15% on average quarter-on-quarter.

Down the application markets, shipments of eMMC, or embedded multimedia controller are booming riding on buoying sales to TVs, tablet PCs, and smart phone markets. So, average selling  prices of eMMCs will grow in a range of 0% to 5%.

eMMCs are sorts of embedded mobile storage devices that have NAND flash memory chips and controllers at the core.

Shipments to mobile phone markets will be buoying, too, as there will be solid demand for UFS, or universal flash storage devises, which have NAND flash memory chips at the core. As Apple is ready to roll out a new series of iPhones, ASPs of UFS will grow in a range of 5%, too

Contract prices of DRAM chips also will grow by 3% to 8% quarter on quarter.