Output value for the global NAND flash memory industry will register a sequential decrease in the fourth quarter of 2020 following a mere 0.3% growth in the prior quarter, according to TrendForce.

The market for NAND flash memory remains oversupplied, which continues to drag down the memory prices in the fourth quarter, said TrendForce. A pick-up in demand for smartphones is not enough to reverse the oversupply situation, while Samsung and China's YMTC continue ramping up their chip output, TrendForce indicated.

The industry output value came to US$14.5 billion in the third quarter of 2020. Rising demand for consumer electronics devices, a pick-up in smartphone demand, as well as continued strong demand for Chormebooks, led to a 9% increase in the overall bit shipments during the quarter. In the meantime, however, the memory ASPs fell 9% on quarter, TrendForce noted.

As for DRAM, the industry is expected to post flat sequential growth in output value in the fourth quarter of 2020, according to TrendForce. DRAM ASPs will still be under downward pressure in the quarter, due to continued weakness in server DRAM demand. Bit shipments will grow, however, driven by demand for PCs, mobile and consumer electronics devices.

The DRAM industry output value came to US$17.46 billion in the third quarter of 2020, up a slight 2% sequentially, TrendForce disclosed.