Samsung eyes NAND flash price hikes

By Tom Stundza, Executive Editor -- Purchasing, 9/20/2006 3:37:00 PM

Samsung Electronics is planning to increase its NAND flash contract prices in the second half of September due to tight supply, with the single-level-cell (SLC) segment likely to see a 10% rise. Sources with memory module makers tell DigiTimes.com the current spot price for 8Gb SLC chips is $19, which is higher than the contract prices Samsung set in the first half of September. Such differences between the contract and spot prices have prompted Samsung to consider raising the contract prices by 10% on average for its SLC chip prices. Multi-level-cell (MLC) chip prices are also likely to go up, but the rise may not be as high. NAND flash has been in tight supply recently, with Samsung giving supply priorities to its first-tier clients. So, with distribution inventories also clearing, prices may rise more significantly.

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