BOC International (China) Co.,Ltd. released a research report stating that due to DRAM manufacturers discontinuing old-generation DRAM products, DDR4 and LPDDR4X prices have surged significantly, with the DRAM market maintaining continued prosperity. Following Q3 2025 price increases, the industry is expected to achieve 20%-50% quarter-over-quarter growth in Q4 2025. Nanya Technology's Q3 2025 contract prices surged 70% quarter-over-quarter, with Q4 2025 expected to rise another 50%. Winbond's Q3 2025 prices increased 60% quarter-over-quarter, with an additional 20% increase expected in Q4. As overseas major manufacturers exit the niche DRAM market, market supply-demand dynamics have shifted, creating a supply shortage situation that drives product price increases. According to GigaDevice, niche DRAM product price increases are ongoing, with shortages expected to persist throughout the year.
**Enterprise Inventory Building and New Smartphone Demand Drive Rising NAND Price Sentiment**
Major domestic internet companies are significantly increasing capital expenditures and AI investments. Alibaba's Q2 2025 "AI+Cloud" capital investment reached 38.6 billion yuan, with plans to invest over 380 billion yuan in cloud and AI hardware infrastructure over the next three years. Baidu's Q2 2025 capital expenditure reached 3.8 billion yuan, representing nearly 80% year-over-year growth. Tencent's Q2 2025 capital expenditure doubled year-over-year to 19.107 billion yuan. Currently, as AI applications accelerate penetration and AI infrastructure construction continues expanding, massive data storage demand is growing daily, presenting significant potential for enterprise-level storage applications.
CFM flash memory market forecasts suggest Q4 2025 storage market may experience widespread price increases, primarily focused on enterprise and mobile markets. Q4 2025 enterprise storage prices may achieve single-digit percentage increases, while mobile embedded storage prices are also expected to rise modestly.
**Manufacturer EOL Notifications Drive DDR4 and LPDDR4X Price Surges, H2 2025 DRAM Market May See Comprehensive Price Increases**
Due to DRAM manufacturers discontinuing old-generation DRAM products, DDR4 and LPDDR4X prices have surged significantly, with the DRAM market maintaining continued prosperity. Following Q3 2025 price increases, the industry is expected to achieve 20%-50% quarter-over-quarter growth in Q4 2025. Nanya Technology's Q3 2025 contract prices surged 70% quarter-over-quarter, with Q4 2025 expected to rise another 50%. Winbond's Q3 2025 prices increased 60% quarter-over-quarter, with an additional 20% increase expected in Q4. Winbond's Q4 2025 contract prices represent an impressive 80%-90% increase compared to Q2 2025 lows.
**Structural Shortages Drive Niche Market Price Increases, Edge-Side Customized Storage Presents Vast Opportunities**
Since 2025, Taiwan's three major niche memory manufacturers - Macronix, Winbond, and Nanya Technology - have generally shown month-over-month revenue growth.
NOR Flash: With increasing AI data center demand and gradual automotive market recovery, NOR Flash market supply-demand is trending healthy, making timely price adjustments inevitable. NOR Flash prices are expected to increase by double-digit percentages in Q4 2025, potentially continuing into 2026.
Niche DRAM: As overseas major manufacturers exit the niche DRAM market, market supply-demand dynamics have shifted, creating supply shortages that drive product price increases. According to GigaDevice, niche DRAM product price increases are ongoing, with shortages expected to persist throughout the year.
Customized Storage: With first-generation products launching and landing, customized storage is gradually gaining momentum. Stacking solutions in edge applications are expected to gradually scale, with companies possessing first-mover advantages positioned to benefit significantly from industry trends.
**Investment Recommendations**
Focus on niche storage companies: GigaDevice (603986.SH), Puya Semiconductor (688766.SH), Juchem (688123.SH), Dosilicon (688110.SH); module manufacturers: Kaipuyun (688228.SH), Longsys (301308.SZ), Demingli (001309.SZ), Biwin Storage (688525.SH), Shannon Systems (300475.SZ); storage supporting chips: Montage Technology (688008.SH), Maxio Technology (688449.SH).
**Risk Factors**
AI application development below expectations; storage supply chain price increases below expectations; internet company capital expenditure cuts or lack of enthusiasm; customized storage implementation below expectations.
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