SSD (solid-state drive) prices in the China market have drastically fallen, with prices for a 128GB model dropping to US$50-55 and those for a 256GB model to below US$100, according to Taiwan-based memory module makers.
The prices declined following a price war started by China-based SSD vendors TIGO Technology and Galaxy Microsystems, the sources said. TIGO's SSD solutions are provided by Taiwan-based Phison Electronics and Galaxy's NAND flash controller ICs are supplied by Taiwan-based JMicron Technology, the sources noted.
The price war has brought pressure on Samsung Electronics and Kingston Technology, the two largest SSD vendors in the China market, the sources indicated.
Phison chairman Pua Khein-seng has remarked that SSD vendors in China will have to bow out if they cannot secure a meaningful place in the market by 2015. To enhance competitiveness, NAND flash controller IC designers have to cooperate with upstream NAND flash chip makers, Pua said, adding Phison has worked with Kingston and Toshiba in attempts to land NAND flash controller IC orders from SSD vendors, Pua noted.
Taiwan Semiconductor Manufacturing Company (TSMC) is expected to benefit from the pricing trend in the China market, as Marvell (currently the world's biggest supplier of SSD-use NAND flash controller ICs), JMicron and Taiwan-based design house Silicon Motion Technology are using TSMC foundry services to produce such ICs, the sources said.
