Samsung is reportedly considering halting its consumer SATA III SSD production lines due to a growing shortage of NAND flash in the supply chain. According to Moore's Law is Dead, industry insiders have been discussing Samsung's potential stop of regular SATA III SSD production. Most NAND flash is being allocated to datacenter customers, such as AI labs and hyperscalers, leaving limited supply for the lower-margin consumer market, including PC gamers and tech enthusiasts. However, this likely only impacts regular SATA III SSDs and not Samsung's popular M.2 PCIe NVMe drives, which have been a consumer favorite for years. Additionally, there are reports that Samsung
is converting its NAND flash production lines in Pyeongtaek and Hwaseong to focus on DRAM production. The upcoming Pyeongtaek Fab 4 (P4) is also expected to operate as a DRAM-only facility using Samsung's latest 1c process.
Earlier industry sources suggest that Samsung is becoming cautious about the NAND market, while demand for standard DRAM has surged. This shift makes NAND flash a less attractive segment, causing the entire supply chain to slow down as inventories are depleted. The demand for AI infrastructure has rapidly depleted inventory across the supply chain, and NAND flash is no exception. The rapid expansion of AI infrastructure has led to NAND flash shortages, which could persist for years. It
was noted that the price of a 1 Terabit TLC NAND increased from $4.80 in July 2025 to $10.70 in November 2025, marking an increase of over 100% in less than six months. Other types of NAND flash, such as MLC and QLC, have also seen their spot prices more than double.