2D NAND Supply Contraction Pushes Prices Higher, Macronix and Powerchip Gain Stronger Pricing Power

According to DIGITIMES, primary international NAND manufacturers such as Samsung and Micron are gradually exiting the matured 2D NAND (2-dimensional flash memory) market, leading to a noticeable tightening in the supply of MLC (Multi-Level Cell) and SLC (Single-Level Cell) products and an accelerated increase in prices in April 2026.

The most significant price increase is seen in MLC NAND (Multi-Level Cell flash memory). Supply chain information indicates that the price of MLC increased by at least 20% to 30% in April; for instance, the spot price of MLC 64Gb 8GBx8 has risen to between $19 and $20, with some quotes reaching $28, compared to approximately $6 to $7 at the end of 2025.

SLC NAND (Single-Level Cell flash memory) has also increased in price during the same supply contraction. The spot price of SLC 2Gb recently reached around $4 to $4.5, up by approximately 120% to 150% compared to the end of 2025, indicating that this shortage is not a disturbance of a single specification but a chain reaction following the exit of mature process capacities.

Although 2D NAND only accounts for about 1% of the global NAND market, some niche applications still rely on these products. Due to the difficulty in switching to alternative solutions and the long certification cycle, end customers are usually unwilling to take on higher supply risks in critical applications.

Samsung, SK Hynix, Kioxia, and Micron currently have no plans to externally license MLC technology, and second-hand equipment is being sought after in the market. Even if new manufacturers wish to enter, it is difficult to form stable production capacity in the short term.

As a result, pricing power is concentrating towards manufacturers that remain in the 2D NAND market. Estimating the 2D NAND market size at about $600 million in 2025, Winbond and Nanya have a combined market share of approximately 59%, and the companies' share may continue to expand in 2026.

Winbond returned to profitability in the first quarter, with April's revenue reaching NT$5.91 billion, a sequential increase of 33.7% and a year-over-year increase of 153.7%, surpassing the monthly record of NT$5.68 billion set in September 2021. Winbond's CEO, Wu Min-Chou, stated that there is still a clear supply gap for MLC eMMC (Multi-Level Cell embedded multimedia card), and it is unlikely to see meaningful new competitors for at least three years.

Nanya focuses more on SLC NAND and NOR Flash (or NOR-type flash memory). The company expects the growth of SLC NAND bit shipments to exceed 80% in the coming year; its 24-nanometer SLC NAND is expected to contribute more from the second quarter and gradually become a revenue driver.