Ron@Maltiel-consulting.com -  Semiconductor & Patent Expert Consulting                     

IP Litigation expert consultant and patent expert witness for process, device, and circuit of  Dynamic

 Ram (DRAM), Flash  (NAND, NOR, EEPROM), and Static Ram (SRAM) Memories,

 and Microprocessor, Logic, and Analog Devices

 

iPhone impacts on NAND Flash demand

    1. Will iPhone halt a drop in NAND flash pricing?                                          (28 February 2007)

     2. iPhone may help NAND flash market to rebound, says A-Data               (5 March 2007)

 

 

Will iPhone halt a drop in NAND flash pricing?

Josephine Lien, Taipei; Esther Lam, DigiTimes.com                                                                                                             [Wednesday 28 February 2007]

There is a chance that the persistent drop in NAND flash contract pricing may ease, as the leading two players – Samsung Electronics and Hynix Semiconductor – are both looking to stop cutting their quotes, as Samsung is now preparing for shipments to Apple for production of the upcoming iPhone, according to sources at memory module houses.

Although Samsung has slashed its contract quotes by almost 30% this year, the sources noted that the company is aware there may be a supply strain amid upcoming scheduled shipments for the iPhone as well as its capacity conversion to DRAM production. Samsung has been holding strong in recent price negotiations and the company has indicated that its supply will be limited for downstream customers, the sources added.

Third-ranked NAND flash supplier, Hynix, is proposing a price rise in the meantime.

Mainstream SLC NAND flash contract prices, 2007 (US$)

Date

16Gb (2Gbx8)

Change

8Gb(1024Mbx8)

Change from previous

 

4Gb(512Mbx8)

Change

2Gb (256Mbx8)

Change

1Gb (128Mbx8)

Change

10-Jan

20.70

(23.80%)

10.04

(24.85%)

5.92

(18.00%)

3.62

(15.00%)

2.52

(3.10%)

24-Jan

18.34

(11.40%)

9.14

(8.96%)

5.48

(7.43%)

3.32

(8.29%)

2.58

2.38%

8-Feb

15.60

(14.94%)

7.58

(17.07%)

4.58

(16.42%)

2.72

(18.07%)

2.56

(0.78%)

Source: DRAMeXchange, compiled by DigiTimes.com, February 2007

Mainstream MLC NAND flash contract prices, 2007 (US$)

Date

 

32Gb

(4Gbx8)

Change

16Gb (2Gbx8)

Change

8Gb (1024mbx8)

Change

4Gb (512Mbx8)

Change

10-Jan

27.6

(25.50%)

13.72

(25.80%)

6.92

(27.16%)

4.66

(28.00%)

24-Jan

24.1

(12.68%)

12.08

(11.95%)

6.14

(11.27%)

4.14

(11.16%)

8-Feb

22.6

(6.22%)

10.18

(15.73%)

5.06

(17.59%)

3.12

(24.64%)

Source: DRAMeXchange, compiled by DigiTimes.com, February 2007

 

iPhone may help NAND flash market to rebound, says A-Data

Josephine Lien, Taipei; Esther Lam, DigiTimes.com                                                                                                           [Monday 5 March 2007]

Following news that leading NAND flash players appear to be cutting contract prices, memory-module maker A-Data Technology foresees a rebound in the NAND flash market in the near term, according to company chairman Simon Chen.

Chen noted that major NAND flash makers are likely to reserve supplies in anticipation of Apple's upcoming iPhone which should put strain on supplies to other applications helping to hold prices firm. Chen even foresees the possibility of shortages emerging from late March.

Although Chen sees a chance for the prices of NAND flash to stop sliding, he warns that only a steady price growth will be positive to the industry. He also reiterated that the iPhone should pose positive impact over the entire NAND flash industry.

In addition to the iPhone, Chen said demand growth for all kinds of consumer electronics should also help spur demand for memory cards in the meantime.

However, Chen noted that the observed upbeat in the NAND flash market may worry the DRAM market. Since Apple should start sourcing NAND flash for the iPhone soon, memory makers may convert their capacity back from DRAM to NAND flash to feed demand, thus reducing the supply of DRAM, he explained.