Silicon Motion : NAND Flash memory capacity gradually released in 2018

Date: 2018-04-03

Under the situation that the market demand has greatly increased and the price of NAND Flash memory has soared in 2017, according to the overall situation in 2018, the worldwide flash memory controller chip maker Silicon Motion(SIMO) stated that the supply in the first half of 2018 was basically oversupply. There is no pressure to supply in 2017. Therefore, the market price will decline moderately quarter by quarter. However, in the second half of the year, due to the increased demand of mobile phones for storing large capacity, there will be a slight strain. However, after the production capacity of NAND Flash manufacturers gradually opens, supply and demand are expected to reach a balance. Therefore, the overall market conditions are relatively healthy.

In an interview with a media reporter,Jiazhang Gou, the general manager of Silicon Motion, said that in 2017, due to the shortage of NAND Flash Controllers shipments, the overall shipment volume declined, and the number came to 715 million. This figure is about 8% lower than the 773 million in 2016. However, this situation will improve in 2018. The reason is that the problem of out-of-stock is under control, and with regard to the current quotation, the annual revenue will increase over 2017 and even exceed the performance of 2016.

Gou Jiazhang further emphasized that the new handsets of a number of mobile phone manufacturers, including Huawei, Xiaomi and OPPO, will be launched in the second half of the year. Their storage capacity will increase to 128GB, and HDD hard drives will gradually start to become solid state drives (SSDs). Instead, the momentum of NAND Flash will continue to grow in the future. As a result, demand has increased, but the 64- and 72-layer NAND Flash production capacity of the NAND Flash memory factory has been gradually opened. Together with the introduction of new products such as the 96-layer NAND and QLC NAND, the overall situation is 2018. Supply and demand are still healthy, but the future will inevitably inevitably have another wave of price cuts.

In addition, for the application of new markets to storage, SSD (Solid State Drive), eMMC (Embedded Multi Media Card), UFS (Universal Flash Storage), single-chip storage solutions, and enterprise-class SSD solutions will all be important market growth momentum. . In particular, Optane, an accelerator for processor giant Intel, will be able to effectively improve system efficiency and reduce latency. This will be an epoch-making memory product when the current system software optimization has reached its limit. Therefore, Jun Jiazhang is optimistic about the NAND Flash price slowdown in 2018, the SSD growth is clear, and with the addition of enterprise-level SSD solutions, the contribution to revenue will increase significantly. In addition, in the eMMC field, the demand for mobile devices has been slowed down in recent years, and will maintain a stable state in the past.

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