How NBM contracts clamp volatile NAND pricing into a gross-margin floor

1NAND bit shipments originate from a volatile spot market
2Long-term agreements signed across customers, converting bit shipments into contracted volume
3Fixed near-term pricing plus long-dated price collars lock contract (non-spot) pricing
4Revenue recognized at protected contract prices, sustaining the gross-margin floor
5Resolution depends on the spot market: upcycle upside is capped by collars; downcycle is cushioned by the floor