Jan 27, 2011 08:08 GMT  ·  By
Renesas postpones USB 3.0 controller scheduled price cuts since competition is scarce
   Renesas postpones USB 3.0 controller scheduled price cuts since competition is scarce

Although SuperSpeed USB 3.0 managed to impose itself as the next generation high speed peripheral interface, chipset manufacturers have been slow to implement the new standard into their products, leaving Renesas (formally NEC) and its µPD720200 chip full control of the market.

According to a research conducted by the DigiTimes publication, NEC's solution is powering about 95% of all USB 3.0 enabled motherboards, the high market share making the company reconsider its plans to reduce the price of its integrated controller.

As a result, the µPD720200 is now sold for between $2.20 and $2.50, much higher than the $1.70-1.80 quoted by ASMedia Technology, Etron Technology and VIA Labs for their competing products that have yet to obtain USB-IF certification.

In addition, Renesas is expected not to reduce its quotes until as late as the end of the first quarter of 2011, DigiTimes' sources indicated.

The µPD720200 was the first SuperSpeed USB 3.0 controller to be certified by the USB-IF, the association being slow to give their seal of approval to other host ICs, at this time only Fresco Logic offering a certified alternative to NEC's controller.

However, the FL1000, only offers one USB 3.0 port, making it a tough sell in the eyes of many motherboard manufacturers.

But competition is expected to pick up in the second quarter of 2011, once USB-IF starts ratifying VIA's, Etron's, and ASMedia's solutions, leading some to believe that Renesas' market share will fall to below 50% or even 30%.

Furthermore, Intel and AMD also plan to introduce native support for this technology in their upcoming chipsets, a recent leak confirming the fact the Intel's Panther Point motherboards will get as much as four USB 3.0 ports.

According to industry analysts, USB 3.0 host IC prices will drop to $1.50 at the end of 2011, $1.20 in 2012 and $1 US in 2013.