Boise (ID) – Leading in flash production technology is a big advantage in cutting losses and perhaps even see a profit in the troubled NAND flash segment. Micron’s and Intel’s joint venture IM Flash Technologies (IMFT) has developed a 34 nm process which allows the companies to produce the currently smallest NAND flash chips and challenge the dominance of the two leading manufacturers, Toshiba and Samsung.
Intel and Micron said they are ready to begin mass-production of 34 nm, 32 Gb (4 GB) multi-level cell (MLC) NAND flash memory device in what is believed to be the most advanced flash production process available today. The two companies believe that more than 50% of flash production at their Lehi facility will have transitioned to 34 nm flash by the end of the year.
The chips can store 4 GB of data - enough for 1000 4 MB MP3 music tracks – on an area of 172mm², which less than the size of an average thumbnail. The two companies said that the chip will “enable high-density solid-state storage in small form factor applications including digital cameras, personal music players and digital camcorders” and “more cost-effective solid-state drives, dramatically increasing their current storage capacity.”
According to a press release, 34 nm MLC and SLC samples will be available from Intel and Micron in early 2009.
Smaller flash chips, of course, translates into more chips from every 300 mm wafer and, provided that the yield stays the same, more products that can be sold. If Intel and Micron can successfully implement this process into mass-production, they should be able to increase their competitiveness against Toshiba and Samsung and have a chance to improve the profitability of their flash products. The target market needs to be the solid state disk drive (SSD), which has much higher profit margins that memory cards, a virtually insatiable demand for storage, but has not become a true mainstream product yet.
Samsung is currently estimated to hold a 42% share of the NAND flash market, followed by Toshiba with about 28%. Hynix is ranked fourth with about 13%, but is eclipsed by a combined Intel and Micron, which are listed by iSuppli with shares of 5% and 9%, respectively.
iSuppli recently said that the NAND flash market has been especially impacted by weakening consumer spending, causing revenue to decline in 2008 - and most likely in 2009 as well. The market research firm believes that worldwide NAND flash memory revenue will fall by 14% to the $12 billion level in 2008, down from $13.9% in 2007. In 2009, global NAND flash memory revenue will decline by another 15%, iSuppli said.
Considering these circumstances, an aggressive investment in NAND flash is a huge gamble. But if Intel and Micron want to challenge Samsung, they really have no other choice.
Intel and Micron said they are ready to begin mass-production of 34 nm, 32 Gb (4 GB) multi-level cell (MLC) NAND flash memory device in what is believed to be the most advanced flash production process available today. The two companies believe that more than 50% of flash production at their Lehi facility will have transitioned to 34 nm flash by the end of the year.
The chips can store 4 GB of data - enough for 1000 4 MB MP3 music tracks – on an area of 172mm², which less than the size of an average thumbnail. The two companies said that the chip will “enable high-density solid-state storage in small form factor applications including digital cameras, personal music players and digital camcorders” and “more cost-effective solid-state drives, dramatically increasing their current storage capacity.”
According to a press release, 34 nm MLC and SLC samples will be available from Intel and Micron in early 2009.
Smaller flash chips, of course, translates into more chips from every 300 mm wafer and, provided that the yield stays the same, more products that can be sold. If Intel and Micron can successfully implement this process into mass-production, they should be able to increase their competitiveness against Toshiba and Samsung and have a chance to improve the profitability of their flash products. The target market needs to be the solid state disk drive (SSD), which has much higher profit margins that memory cards, a virtually insatiable demand for storage, but has not become a true mainstream product yet.
Samsung is currently estimated to hold a 42% share of the NAND flash market, followed by Toshiba with about 28%. Hynix is ranked fourth with about 13%, but is eclipsed by a combined Intel and Micron, which are listed by iSuppli with shares of 5% and 9%, respectively.
iSuppli recently said that the NAND flash market has been especially impacted by weakening consumer spending, causing revenue to decline in 2008 - and most likely in 2009 as well. The market research firm believes that worldwide NAND flash memory revenue will fall by 14% to the $12 billion level in 2008, down from $13.9% in 2007. In 2009, global NAND flash memory revenue will decline by another 15%, iSuppli said.
Considering these circumstances, an aggressive investment in NAND flash is a huge gamble. But if Intel and Micron want to challenge Samsung, they really have no other choice.