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The solid-state drive market faces a sharp increase in prices, driven by constrained supply chains and soaring demand from AI data centres, signalling a significant shift in storage hardware economics and influencing both consumer and enterprise purchasing decisions.
The solid-state drive (SSD) market is facing notable upheaval as prices are anticipated to climb sharply, with some industry analysts forecasting increases of up to 30% over the coming months. This impending surge is attributed primarily to rising demand driven by the expansion of data centres supporting artificial intelligence (AI) technologies, compounded by constrained supply chains for NAND flash memory components essential to SSD production.
According to market observers, the era of affordable SSDs is set to end soon, marking a significant shift in storage hardware economics. Players and professional users who require rapid data transfer speeds and ample storage capacity are likely to be most impacted by these higher costs, potentially reshaping purchasing decisions in personal computing and enterprise environments.
Manufacturers have started to signal forthcoming price hikes. Western Digital publicly announced an immediate gradual price increase for their hard disk drives (HDDs), cautioning customers of longer delivery times ranging from six to ten weeks, with SSDs expected to follow suit. SanDisk has already implemented a 10% price increase and warned of delays in shipping, while Micron has projected a more pessimistic outlook, forecasting up to a 30% price rise. These warnings come amid a backdrop of intensified demand from AI-driven data centres, which rely heavily on both HDD and SSD storage to train complex algorithms.
The root cause lies in the tightening supply of NAND flash memory, the core technology underpinning SSDs. Multiple sources confirm that major manufacturers—including industry leaders such as Samsung, Micron, SanDisk, Kioxia, SK hynix, and Western Digital—have collectively cut NAND production by between 10% and 15% during the first half of 2025. This reduction aims to recalibrate supply with demand but is exacerbated by the growing appetite for high-density 3D NAND products used in AI cloud infrastructure. Commercial Times and TrendForce reports highlight that these production cuts have led to shortages expected to extend into 2026.
On the contract pricing front, Q4 2025 has already seen a notable price spike of 15–20% for NAND and DRAM components, contrary to the usual trend of seasonal price declines. The aggressive purchasing behaviours of cloud providers have drained stock levels, with some manufacturers, such as Micron, suspending price quotations due to looming shortages. SanDisk’s move to raise prices is corroborated by strong enterprise demand, evidenced by companies like Phison reporting record revenues from SSD controllers.
Consumers are also witnessing product innovations amid these challenges. SanDisk recently unveiled the WD Blue SN5100 series, boasting up to 30% higher performance than its predecessor, utilising PCIe 4.0 interfaces and advanced caching technologies. However, these improved speeds come at a cost, with prices rising between 22% and 36% compared to previous models. Meanwhile, pre-orders for next-generation SSDs like the WD Black SN8100, expected to deliver impressive PCIe 5.0 speeds, signal that premium SSDs will command a considerably higher price bracket, reflecting the broader market trend.
The SSD price inflation is not occurring in isolation. HDDs have experienced similar shortages and price pressures as AI data centres pivot towards SSDs for improved performance, further straining storage supply chains. HDD and SSD manufacturers alike are warning customers to plan purchases well in advance to mitigate the impact of extended delivery schedules and rising costs.
Looking ahead, as NAND flash shortages and elevated demand from AI infrastructure persist, consumers may find fewer opportunities for discounts, especially during traditionally high-volume sales periods such as Black Friday. Industry insiders note that while enterprise clients absorb these price rises more readily, average consumers could face dwindling options for affordable, high-capacity SSDs, particularly in the entry-level QLC segment where production cuts have been most severe.
In essence, the SSD market is entering a tumultuous phase where supply constraints, production adjustments, and surging AI-related storage needs intertwine, raising prices and extending delivery timelines. Buyers are advised to act swiftly if they intend to acquire SSDs at more favourable prices, as the convergence of these factors is likely to sustain upward pressure on costs for the foreseeable future.
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Source: Noah Wire Services
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