14 DAY TRIAL // NAND flash memory controller IC design houses believe that the market demand status is improving after having prices cut down back in June. Still, the growth seems to be only a small one. Most leading controller IC design houses see demand warming-up and are expecting to have double-digit sales growth during July. Sales are also expected to go up due to a more tight discipline over supply kept by industry players.
The demand for memory card and USB drives seems to be on an up scale lately, though not too consistent, say sources at the controller IC design houses. Some makers believe there is a short supply that translates into improved memory market. Hynix Semiconductor and Samsung Electronics, two of the leading industry players, face limited fresh capacity. Their 48nm and 42nm volume production plan is not likely to take place in July, which means that there is a healthy supply status.
According to Alcor Micro, the company's sales were not affected too much by the price cut in June, since its business covers controller design for memory card readers, keyboards and hubs. Yet, the orders from memory card customers faced a rapid decline last month, the company admitted.
The NAND flash prices are stable for the moment. Along with new sale demands from USB drive customers, it may translate into growing sales on month during July, says Alcor Micro, though it cannot provide a specific growing rate. The company expects the Q3 sales to be 10-20 percent higher than in the previous quarter.
Phison Electronics also announced that the demand for memory cards and USB drive applications is bigger this month, even if the percentage is a small one. The company also said that prices are more stable comparing to June. The sales expectations for Phison Electronics rise to a 20 percent on month.
Skymedi kept the pace during the first half of the year by Samsung investment and SecureDigitial (SD) card orders. The company expects only a mild sequential growth for its sales on finished SD card orders from Samsung.