In OCZ Technology’s Quarter 3 earnings report (ending November 30, 2011), OCZ noted that with the rising demand in solid state drives, and in line with its business objectives to discontinue unprofitable products, OCZ will exit the DRAM (aka RAM) sector completely by February 28, 2011. Facing increasing competition from competitors like Corsair Memory, G.Skill, and memory giant Kingston Technologies, the performance memory segment has seen a reduction in profits in recent years as it’s become increasingly difficult to differentiate memory brands.
“Revenue generated from our Solid State Drive products for the third fiscal quarter more than doubled on a sequential basis,” said Ryan Petersen, Chief Executive Officer of OCZ Technology. “SSD revenue accounted for 78% of our revenue and just by itself exceeds our historical quarterly revenue totals across all categories, thus reinforcing our decision to discontinue our remaining DRAM products.”
“We have focused on building the OEM and enterprise segments of our business, and last month we announced a mass production order from a Tier 1 OEM for our enterprise class SSDs, reflecting the reliability, speed and total cost of ownership solid state drives provide over traditional mechanical hard drives. We believe the market opportunity for SSDs is significant, and to that end, we will continue to invest in research and development to extend our leadership position. We also plan to increase our sales and marketing efforts in order to facilitate continued revenue growth and increased market share as SSDs gain adoption in all segments.” added Petersen.
It’s going to be tough saying good bye to OCZ. We’ll miss them in the memory segment as they were one of our premiere choices in RAM OEMs. At least we’ll have them around for solid state drives.
Other OCZ Technology Business Highlights from Q3 2010:
- Recently began shipping Deneva Series Enterprise SSDs in mass production quantities to a new Tier 1 OEM client
- OEM SSD business continued to ramp, with numerous new client wins such as BOLData and Falcon Northwest Computer Systems, while several current clients ramped shipments of SSDs
- Recently began shipping High Speed Data Link (HSDL) enabled IBIS SSD drives in mass production quantities to select clients
- Launched the 2nd generation REVO X2 PCIe based SSD with up to 150k random write IOPS , in capacities up to 960GBs , and deployed with key high performance workstation OEMs
- Acquired certain Fibre Channel interface and DRAM based SSD controller technology from Solid Data Inc, in order to facilitate the company’s move into Fibre Channel and low latency enterprise SSD Segments
- Began mass production of 2xNm based SSD for low cost applications and started sampling 2xNm based high durability SSDs for Enterprise Server and Storage applications
- Opened new SSD manufacturing facility in Taiwan, nearly quadrupling our manufacturing capacity with the addition of two new SMT lines, the first in October and the second which has just come on-line
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