The storage chip market has been making quite a splash recently. A leading semiconductor manufacturer plans to raise the price of enterprise-level NAND flash memory by over 100% in March 2026, while requiring customers to pay full cash upfront to lock in supply quotas for 1 to 3 years. This condition is indeed harsh.

The underlying logic is actually simple: AI server demand is exploding, and all capacity is being allocated to high-end products, leaving the mid-to-low-end market in extreme shortage. A seller’s market has formed, and the bargaining power has completely shifted to the suppliers.

Interestingly, even with such strict terms, some large CSPs are still carefully weighing whether to accept. Instead of risking supply cuts later, they prefer to endure high upfront payments. This is the current market situation.

DRAM memory isn’t doing much better, also facing severe shortages. I heard that HP is even seeking alternative Chinese suppliers. The recent fluctuations in the semiconductor industry chain are truly reshaping the entire ecosystem. Everyone is watching how this will evolve next.