Pua Khein-Seng, the CEO of Phison Electronics, has issued a stark warning: a severe NAND flash shortage is on the horizon for 2026, one that could potentially disrupt—or even temporarily halt—segments of the consumer electronics supply chain. He highlights that memory production capacity is rapidly being redirected towards artificial intelligence infrastructure, imposing a twofold pressure on consumer OEM manufacturers in terms of both supply availability and pricing. According to Pua, this structural transformation will persist until at least 2030, with foundries operating in a seller's market. Consequently, customers will be required to prepay for production capacity over the next three years to secure their supply. He further predicts that from late 2025 into 2026, numerous companies will be compelled to cease production or discontinue product lines due to inadequate memory supply. This scarcity is expected to drive low-end products out of the market until supply levels stabilize and market growth rebounds.