SSD, Biwin invests over half of its annual revenue to secure NAND memory until 2028
Biwin, a well-known manufacturer in the SSD and memory module sector, which we have seen at COMPUTEX 2026, has signed a multi-year agreement to purchase 3D NAND memory worth a total of $1.86 billion. The agreement, disclosed to Tom's Hardware USA and later confirmed through documentation filed with the Shanghai Stock Exchange, represents one of the most significant purchasing commitments in the flash memory sector.
The contract will last 24 months starting from June 30, 2026, and includes particularly strict conditions: both the supply volumes and prices have been set in advance. Biwin will make purchases in multiple tranches between the third quarter of 2026 and the second quarter of 2028, thereby securing a predetermined availability of memory regardless of future market fluctuations.
The choice highlights the growing concern within the industry about the availability of NAND in the coming years. In recent months, various companies in the sector have adopted similar strategies, resorting to significant financing or entering into long-term agreements to ensure production capacity. The widespread fear is that supplies available in the spot market may gradually decrease.
The scale of the investment appears particularly significant when compared to the size of the company. The value of the agreement exceeds 50% of Biwin's annual revenue, a percentage that underscores how strategic it has become to secure access to flash memory in an increasingly competitive environment. Although holding a market share estimated at around 10% in the proprietary SSD segment, Biwin remains distant from key players in the sector such as Kingston and integrated NAND manufacturers.
The operation could allow the company to support the growth of its commercial presence or meet the demand of large customers, including hyperscale operators and data centers that require continuity in supplies. At the same time, the agreement also carries some risks: in the event of a decrease in NAND prices over the next two years, Biwin would still be bound by the economic conditions established today. However, according to the expectations of several industry observers, the pressure on supply could intensify further throughout 2027, making this strategic choice more sustainable.
An interesting element emerges from the analysis of the volumes included in the contract. The amount of NAND projected for 2026 represents just 4.45% of the purchases made by the company in 2025, while the figure for 2027 equates to 14.88% of the volumes purchased last year. Considering the overall economic value of the agreement, these figures suggest a strong increase in the prices of flash memory compared to previous levels.
It should also be noted that the agreement does not cover the entire production requirement of Biwin. The company has specified that the contract serves to guarantee only a portion of the anticipated base demand for the next two years. This means that it will continue to procure additional quantities of NAND through other supply channels, maintaining a certain operational flexibility.