AI Demand Fuels Enterprise SSD Growth

Latest investigations from TrendForce Corp. reveal that continued AI investments by major North American CSPs are expected to drive a significant increase in enterprise SSD demand in the third quarter of 2025.

The enterprise SSD market is likely to shift toward undersupply with finished product inventory levels remaining low, supporting a potential price increase of up to 10% Q/Q.

TrendForce notes that earlier this year, suppliers adopted a conservative production strategy as they gradually brought the NAND Flash market back into supply-demand balance. However, the introduction of new US reciprocal tariff policies in early April disrupted the market’s momentum in Q2 and introduced volatility into price trends. Although some PC manufacturers accelerated shipments in Q2, it failed to substantially boost overall demand for NAND Flash products. Meanwhile, persistent weakness in the retail market has prompted suppliers to tighten capacity controls even further.

Nonetheless, demand for storage has recently picked up. This surge is partly driven by the shipment of high-end AI servers such as NVIDIA’s GB 200, and partly by increased HDD orders since early this year-signaling a broader trend of enterprise infrastructure expansion. Both SSDs and HDDs are expected to benefit from rising enterprise capital expenditures with steady server deployments by CSPs, ushering in a new wave of order growth.