The AI storage sector continues to thrive, prompting listed companies to accelerate their strategic deployments. On December 2, Shenzhen Longsys Electronics Co., Ltd. (referred to as "Longsys"), a leading domestic storage company, announced a private placement plan aiming to raise up to 3.7 billion yuan. The funds will be allocated to high-end memory R&D and industrialization for AI applications, semiconductor storage controller chip development, advanced packaging and testing facilities, and working capital. Longsys emphasized that this fundraising will enhance its technological capabilities, expand product offerings, and strengthen brand influence to meet the growing demand driven by AI, thereby improving profitability.
"The explosive growth of generative AI and large-scale models has exponentially increased data processing needs. AI storage, serving as the 'granary' for computing power, is witnessing sustained market demand," said Guo Tao, Deputy Director of the China E-Commerce Expert Service Center. He noted that due to supply-demand imbalances, storage prices surged rapidly in the second half of the year. Market consensus suggests this AI-driven shortage could lead to a prolonged "super cycle" lasting several years.
According to TrendForce's latest report on spot memory prices, DRAM prices have spiked amid buyer competition, with DDR5 chips rising 30% in a week due to tight supply and restricted shipments by major module manufacturers. NAND prices are also expected to climb further as supply remains limited. In response, multiple listed companies are expanding production through fundraising to capitalize on this strong upward cycle.
On November 25, Shenzhen Delkin Technology Co., Ltd. ("Delkin") disclosed a private placement plan to raise up to 3.2 billion yuan for SSD and DRAM capacity expansion, an intelligent storage R&D headquarters, and working capital. Delkin highlighted that storage upgrades in general servers for AI applications and the rise of "edge AI" in smartphones and PCs are driving comprehensive demand, reinforcing the sustainability of the storage super cycle. The company has developed localized solutions for key terminal manufacturers and data centers through in-house controller chips and firmware optimization.
Meanwhile, Gigadevice Semiconductor Inc. reported progress in its storage product lineup during its Q3 earnings call. The company's newly launched DDR4 8Gb product has gained market share rapidly, with Q3 sales matching DDR4 4Gb levels. Plans for mass production of self-developed LPDDR4 products next year and R&D for LPDDR5 are underway.
Beyond corporate initiatives, ecosystem collaboration and standardization efforts are advancing. At the 2025 Data Storage Industry Conference, Sugon Information Industry Co., Ltd. was appointed chair of the China Electronics Standardization Association's Data Storage Committee, which will draft AI storage standards and establish a Future Storage working group. Sugon's subsidiary, Tianjin Sugon Storage Technology, will focus on "AI data semantics" to develop storage architectures and benchmarks for large-model training. The working group will prioritize "AI inference storage acceleration," tackling key technologies like KV Cache optimization and storage-computing-network synergy to build China's independent technical framework.
"The committee aims to unite industry forces, lead international standards, and elevate China's role from 'adapter' to 'architect' in the global storage sector," said Guan Hongming, Senior Vice President of Sugon.