Trend Force’s latest research shows that AI will remain the main driver of memory demand in 2027, but market dynamics will diverge between DRAM and NAND Flash.

On the DRAM side, continued HBM capacity allocation, robust AI server demand, and growing CPU memory procurement will keep supply constrained and push prices upward. Major suppliers are expanding output from existing fabs, accelerating process migrations, and reducing product conversion frequency to maximize bit output through 2026, with new capacity only adding meaningfully in the second half of 2027 and substantial output arriving in 2028.

In contrast, NAND Flash is expected to enter a looser supply environment in 2H27 as new fabs come online while consumer electronics demand remains weak, increasing downward pressure on prices. Enterprise SSDs, especially QLC, will drive the growth engine, whereas consumer shipments are projected to decline.

Trend Force forecasts global server shipments to grow faster in 2027 than the 17% YoY recorded in 2026, and the DRAM sufficiency ratio to widen to -1% to -2%Sprinkling these outlooks, the industry may see a shift toward a more balanced NAND market if Agentic AI adoption spikes.