Kingston sees surge in demand for NAND flash products in China
Memory module maker Kingston Technology expects a staggering increase in shipments of NAND flash products in October as demand in China is growing strongly. Kingston said its shipments of NAND flash products will increase 250% on year in October, with sales from the segment expected to hit the highest level of the year.
The maker explained that following the country’s long National Day holiday, the China market has been actively seeking to refill its inventory. Demand is exploding following a weak third quarter that failed to see a seasonal upturn.
Although the NAND flash market is still in oversupply, the surge in demand is also helping prevent NAND flash prices from falling further in the short term, it added. Prices are also being stabilized by production cutbacks by Hynix Semiconductor and Micron, as well by Toshiba’s decision to reduce its capital expenditure (capex), Kingston said. The NAND flash suppliers’ moves have given the market a strong signal that they are starting the address the serious problem of oversupply, the US-based maker commented.
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