It's not just memory; the current AI boom is also affecting the supply of flash-based storage and SSDs. Sitting down with South Korean media outlet Digital Daily, Shunsuke Nakato, Managing Director of Kioxia's Memory Business Unit, has confirmed that the company has already sold through its production capacity for this year.
"To be honest, this year's production volume is already in a 'sold-out' state," Shunsuke Nakato says (machine translated). Adding that this trend will likely continue through 2027, with prices already increasing by around 30%. Nakato adds that KIOXIA isn't simply selling to the highest bidder, but instead to trusted customers and partners who will work with the company long-term, in what the company calls a 'gentleman's approach.'
"There is a sense of crisis that companies will be eliminated the moment they stop investing in AI, so they have no choice but to continue investing," Shunsuke Nakato responded when asked about the current market trends. "There are risk factors such as power shortages in the United States and foundry supply constraints, but NAND demand itself will not decrease next year."
On the plus side, KIOXIA's Yokkaichi and Kitakami factories will be leveraged to address the demand and global NAND flash memory shortage. Yokkaichi's cutting-edge use of AI to maximize yields will play a big role in production. At the same time, the Kitakami factory will start full-scale production of its latest BiCS FLASH Gen 8 3D flash memory technology.
At CES 2026, the company announced its new BG7 Series SSDs for consumers and PC OEMs, so there's a good chance this line-up can fill some of the void left by Micron's sudden, surprising cancellation of its consumer-focused Crucial brand. That said, based on this interview (which is primarily focused on the Korean market), it sounds like 2026 will be a rough year for buying storage, no matter what.
