The problems of supply and the increases of the prices could soon get worse after it has occurred a contamination at Western Digital’s NAND production facility, leading to million terabytes of flash storage.
Western Digital and Kioxia explained this week that a series of contaminated materials they had used in manufacturing of memories flash had ruined at least 6.5 exabytes (or what is the same: more than 6.5 million terabytes) storage. A Wells Fargo analyst said that adding losses of Kioxia, in total we would be talking about 16 exabytes, or 10% of the market this quarter.
Western Digital is one of the manufacturers of memories industry’s largest flashes, and any interruption to your production could drive up prices and provoke much more shortage at a time when chipmakers They struggle to keep up with the demand. Flash memory is a crucial component found in almost all modern devices, from smartphones and computers to digital cameras and cars.
“Flash memory prices will surely increase, adding more gasoline to the rise of component prices due to supply shortages”, said Hideki Yasuda, an analyst at Ace Research Institute to Bloomberg.
Western Digital and Kioxia are some of the world’s leading SSD providers, with their joint production accounting for about 30% of the memory market. NAND flash. Is contamination could make the price of memories NAND, the main component of SSDs, increase by up to 10%, according to the data handled TrendForce. Such a substantial price increase could have a direct impact on the PC and tablet markets, as well as the computer manufacturers that are renewing their products with the arrival of the new processors.
Although Western Digital is one of the biggest brands on the market, other tech giantss should be able to compensate for some of the gap let me. Samsung and Micron are likely to see the demand for your memoirs flash. Thanks to the iFixit videos, we know that Apple uses the nand power Kioxia in many of their products (although some of their SSDs are supplied by Samsung) as is Google with its Pixel 6. For nowit’s not quite of course if the interruption of supply will cause an immediate increase in prices.
Western Digital and Kioxia have not disclosed the cause of the contamination of their materials nor have they reported when their production plants will return to be fully operational.