Tuesday, June 23, 2009

SSD penetration rate in standard NBs to be about 1.5pc in 2009

TAIPEI, TAIWAN: Solid State Drive (SSD) has been the killer application in NAND Flash market due to higher content per system consumption and more popular applications.

According to DRAMeXchange, SSD market penetration rate in standard NB (notebook) market will be estimated to be 1~1.5 percent in 2009 and will be below 10 percent in low-cost-PC segments since HHD is still adopted as the mainstream storage devices.

Higher price has stumbled the extensive application and deeper market penetration for SSD. Given the fierce upward pricing trend for 16Gb and 32Gb in 1H09, extensive market acceptance for SSD has been postponed due to the higher cost and profit margin decline. Demand is estimated to be less optimistic compared to the previous forecast in 2009, says DRAMeXchange.

SSD application can be briefly divided into two categories- “PC” and “non-PC”. As for penetration rate in PC market, the ratio of NB-used SSD and low-cost PC-used SSD has kept declining and resulted in the sloppy overall SSD shipments. SSD costs over four times higher than HDD regarding to the cost per GB while software and storage compatibility still remain the concern toward PC vendors.

PC vendors are more cautious and conservative toward SSD development even though Microsoft has made some adjustments for SSD optimal application in the brand-new Windows 7. NAND Flash price is expected to be much lower when 3X nm/2xnm node turn to the mainstream process technologies and SSD will be more popular in the market.

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