Storage component manufacturer Phison has reported extraordinary demand for NAND flash memory driven by artificial intelligence applications, with CEO Khein-Seng Pua describing the market conditions during the company's third-quarter earnings call as unprecedented. Triple-level cell NAND pricing has surged between 50 and 75 percent within recent months as AI infrastructure requirements create tight supply conditions, particularly for inference workloads that rely on solid-state drives for model storage and rapid access to large language models in data center environments.
The memory sector had experienced prolonged underutilization and weak profitability over the past five years, leading suppliers to resist capacity expansion. Pua indicated manufacturers are beginning to see returns and may increase production as AI-related storage requirements continue growing, though consumer solid-state drive prices are expected to rise substantially in response to the constrained supply situation.
The memory sector had experienced prolonged underutilization and weak profitability over the past five years, leading suppliers to resist capacity expansion. Pua indicated manufacturers are beginning to see returns and may increase production as AI-related storage requirements continue growing, though consumer solid-state drive prices are expected to rise substantially in response to the constrained supply situation.
