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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: Shaky for sure
By RussianSensation on 1/11/2011 11:33:11 PM , Rating: 2
I don't think you can use evidence of some failed drives online as an indication of the overall failure rate for the product. For example, if 10 people complain that their Ford's have broken, are we to assume Ford makes unreliable cars? How many out of 1000 people whose Ford doesn't break will go out of their way to post a positive review about it? You are much more likely to complain if the product has failed.

Also, the consumers are clearly seeing value in OCZ's SSDs. Given the fact that solid-state drives (SSDs) accounted for about 78% of the company's revenue, whereas memory, flash media and PSUs accounted for 22% of the company's earnings, the decision was not a difficult one to make. My point still stands about being concentrated so significantly in 1 market segment. However, if OCZ expands their offerings of SSDs (figures out how to add Trim support for their RAID PCIe SSDs) and offers the fastest drives on the market, as well as caters to mainstream and value customers, they could become the new Seagate/WD of the SSD market.


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