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July 29, 2021 10:22 am GMT
Original Link: https://www.techpowerup.com/285050/trendforce-enterprise-ssd-contract-prices-likely-to-increase-by-15-qoq-for-3q21-due-to-high-ssd-demand-and-short-su
(PR) TrendForce: Enterprise SSD Contract Prices Likely to Increase by 15% QoQ for 3Q21 Due to High SSD Demand and Short Supply of Upstream IC Components
The ramp-up of the Intel Ice Lake and AMD Milan processors is expected to not only propel growths in server shipment for two consecutive quarters from 2Q21 to 3Q21, but also drive up the share of high-density products in North American hyperscalers' enterprise SSD purchases, according to TrendForce's latest investigations. In China, procurement activities by domestic hyperscalers Alibaba and ByteDance are expected to increase on a quarterly basis as well. With the labor force gradually returning to physical offices, enterprises are now placing an increasing number of IT equipment orders, including servers, compared to 1H21. Hence, global enterprise SSD procurement capacity is expected to increase by 7% QoQ in 3Q21. Ongoing shortages in foundry capacities, however, have led to the supply of SSD components lagging behind demand. At the same time, enterprise SSD suppliers are aggressively raising the share of large-density products in their offerings in an attempt to optimize their product lines' profitability. Taking account of these factors, TrendForce expects contract prices of enterprise SSDs to undergo a staggering 15% QoQ increase for 3Q21.
Original Link: https://www.techpowerup.com/285050/trendforce-enterprise-ssd-contract-prices-likely-to-increase-by-15-qoq-for-3q21-due-to-high-ssd-demand-and-short-su
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