Memory module makers shifting focus to industrial memory module products

Josephine Lien, Steve Shen, 28 August 2012

Taiwan-based memory module makers including Phison Electronics, Transcend Information and Apacer will focus more on niche market applications to ramp up profitability in the second half of 2012 after sustaining strong EPS in the first half, according to industry sources.

Phison led peer companies with an EPS of NT$7.13 (US$0.24) for the January-June period of 2012, followed by Transcend with NT$3.1 and Apacer with NT$1.65, according to data from the companies.

For the second half of 2012, Phison aims to double its shipments of SATA III SSDs, leveraging the release of new ultrabooks by notebook vendors, the sources indicated.

Embedded MMC (eMMC) controller ICs will also be a growth driver for Phison in the second half of the year, noted the sources, adding that Phison has ramped up its quarterly shipments of eMMC controller chips to over 10 million units.

Transcend has been focusing on memory modules for strategic products including card readers, high-speed flash drives and high-speed flash memory cards, and has been placing more attention on industrial memory modules recently.

Transcend's industrial memory modules include rugged DRAM modules, rugged flash modules, SATA DOM modules and rugged SSD modules, indicated the sources, noting that Transcend is also eyeing the growing SATA III SSD market.

Apacer has also shifted its production focus from standard memory modules to high-end industrial memory modules and SSD products. The shift has been successful as the EPS of NT$1.65 for the first half of 2012 almost equaled total earnings recorded for all of 2011, noted the sources.