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OCZ Vertex 3 Pro
Strong SSD revenues prompt OCZ to quickly abandon DRAM products

When it comes to performance upgrades for computing systems, enthusiasts have been moving in large numbers to solid state drives. Upgrading a system from an "archaic" hard disk drive (HDD) to a solid state drive (SSD) can make an immediate difference in boot speeds, application launch times, and overall system performance.

OCZ Technology, once primarily known for its DRAM/memory products, has in recent years expanded its product portfolio to include cooling products and power supplies. Another product category that has seen large gains for the company has been the SSD market.

OCZ Technology saw a 325 percent increase in revenues from its SSD business for fiscal Q3 2011 versus the previous year. Q3 2011 SSD revenues were also up 105 percent compared to Q2 2011. 

"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," said OCZ Technology CEO Ryan Peterson. 

Thanks to the strong performance of its SSD portfolio, and the overall weakness in the global DRAM market, OCZ is accelerating its plans to exit the DRAM market.

"We still have some commitment on the memory side moving forward and will continue with certain SKUs for a period of time, but the amount of memory sales are going to be non-material to our overall business," said OCZ CMO Alex Mei in a phone interview with DailyTech. "Memory sales continues to shrink as an overall portion of our business to the point where it was not as significant."

OCZ showcased its SSD prowess last week with the announcement of the Vertex 3 Pro SSD family. The new drives feature a SandForce SF-2582 SATA III/6Gbps compliant controller that provides maximum read speeds of 550MB/sec and maximum write speeds of 525MB/sec.



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RE: Starting with DDR3, OCZ was no longer competitive
By bug77 on 1/10/2011 7:03:53 PM , Rating: 3
I'm not sure, but I have the feeling memory overclocking itself has died-out. L3 cache has killed the need for super-tight timings or tons of bandwidth. They're still important, but for day-to-day use stock memory is absolutely fine.
Oh, and I haven't heard of any IC to raise to the fame of TCCD. Still, all ICs are now DDR3-1333, yet many are sold as DDR3-2133, so the overclocking potential seems to be there. Maybe I just fell out of the loop.


By vol7ron on 1/10/2011 10:42:25 PM , Rating: 2
Did OCZ just rebadge the DRAM or did they manufacture the chips? I'm guessing they just improved Samsung DIMMs?

Still, wouldn't it make sense to keep at least some memory options open? To produce SSDs, you need some DRAM - my guess is this is going to be another performance bottleneck in the future. If OCZ is purchasing it, I'm sure they might want to keep some discounts to offer more affordable SSDs.


RE: Starting with DDR3, OCZ was no longer competitive
By bug77 on 1/11/2011 5:31:07 AM , Rating: 2
Only a handful (Samsung, Crucial/Micron) of memory makers produce their own chips. A third party can only perform a more thorough selection on IC batches and then cherry-pick - everybody does this.

As for keeping options open, I'm sure they thought about it. It's probably not worth it at this time (due to low-margins or whatever).


By azander on 1/11/2011 7:38:16 PM , Rating: 4
Hi guys, as this is the first post in this article let me identify myslef as Alex at OCZ Technology. I appreciate everyone's comments and just wanted to chime in.

bug77 is absolutely right, just a few fabs produce the IC's and we would screen those IC's and build them on our own SMT lines then handtesting the built modules for performance and pairing into dual channel kits. There was a time when we could add a lot value to memory modules via latencies, max speed or sheer density but with the low margins it really didn’t make sense, especially when with the advancement of platforms other areas became more of the bottleneck including mass storage.


By bug77 on 1/12/2011 5:28:03 AM , Rating: 2
Hey, SSD is still memory, so I'm glad you guys are still around.


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