Consumer SSDs and Hard Drive Prices are Nearing Parity
The prices of SSDs and HHDs have fallen every year, and the experts expected that this is going to at its lowest price by 2017. This straight fall in the prices of SSDs gives lift to this drive in the laptops manufacturing. According to the latest report of DRAMeXchange which is a division of market research firm Trendforce, the use of SSDs in the laptops go to 24% to 25% this year. It is expected that the use of SSDs is going to increase. It is expected that it shares goes to 31% next year and by 2017 it is going to 41%.
This is the fourth straight decline rate in the price of SSDs. The decline in the price exceeds to 10% this year. This shows that the popularity of SSD drive is falling down. Due to the low selling of notebooks, branded PC and channel distributor still holding back on their SSD purchase. However, the 256 GB SSD is going close to the state or condition to equal their decline price with HHDs.
As the price of SSDs dropped dramatically but on the other hand the price of HHDs hasn’t. The report says that per gigabyte price of HHD has dropped to only one percent per year, from 2012 to 2015 it decline from 9 percent to 6 percent. It is expected that HHDs price is going to remain constant by 2017. If we do comparison, in 2012 the price of SSD were selling for 99 cents but when we take look from 2013 to 2015, per gig price comes down from 68 cents to 39 cents. This means that average selling price of 1 TB SSD is almost $390. It is also expected that from next year, the price of consumer SSD is going to decline to 24 cents per gig and from 2017 this is going to fall to 17 cents per gigabytes. This means the average retail price for 1 TB would be $170.
In the third quarter the consumer SSD shipments reached a total of 21.6 million units. When you look on the third quarter shipment you found that the use of notebooks rose to 43.3 million units, which is 13% more from previous year shipment. In retail sectors, the channel distributors were pretty much conservatives in restocking efforts. This was done because they expected that the NAND flash drive prices might go down. Therefore, the retail SSD market shipments were quite disappointing last year is this happen due to peak quarter standard.