iPhone Consumption Threatens Worldwide Flash Memory Supply

by Darren

People had been concerned that the demand for NAND flash memory would go way up with the introduction of the iPhone, and that has certainly been the case. Now Apple, with it’s iPhone and iPod lines selling fast, is consuming 25% of the world’s supply.

A new report from the firm confirms that the latter trend shows no signs of reversing. In an update on Wednesday, DRAMeXchange said that devices like the iPhone and iPod are on target to consume no less than 25 percent of the total Q3 NAND flash capacity. And because a huge portion of the chip capacity is being allocated to Apple, many downstream vendors are being left flash-less.

“Production snags in the migration to more advanced NAND Flash manufacturing processes has led to a lower-than-expected output,” the firm said on Wednesday.

Experts predict that this will cause a complete shortage in Q3 of 2007.

Resource: Yahoo