SK Hynix Acquires Softeq Development In A Bid to Dominate the SSD Market.
SK Hynix has manage to recently acquire the firmware unit of Softeq Development FLLC. This would make it the fifth time over the recent past two years that SK Hynix has manage to over take a companies or division related to NAND.
During June 5th, SK Hynix announced that the company has manage to acquisition the firmware unit of Softeq Development to improve upon its development capacity of NAND flash memories. NAND flash memory is a type of non-volatile technology that does not require massive power to retain data.
According to SK Hynix, Softew was a processional outsourcing firm in which specialized in the development of software which included firmware, web and mobile application. Initially founded during 2008, Softeq Development FLLC has been considered to have on going competence through collaboration through NAND flash companies.
SK Hynix has plans to sharpen the competitiveness within the NAND flash solution market by taking over the technology, personnel and asses of the firmware department of he Housten, Texas-based company.
Before this recent acquisition, SK Hynix had manage to acquire Italy’s Idea Flash, America’s LAMD ( Link A Media Devices) during June 2012, the eMMC controller unit of Taiwan’s Innostor during August 2013 and the PCIe card unit of America’s Violin Memory during May 2014.
The semiconductor industry analysts are interpreting the series of acquisitions by SK Hynix in association with the emerging SSD (Solid State Disk or Solid State Drive) market. SSD is a memory device involving NAND flash which processes data much faster and more stable than existing HDDs (Hard Disk Drive).
According to information provided by the market research firm IHS, the SSD market size is approximately around US$11,98 billion, an expected growth rate of 30 percent over the previous year, influenced by an increased demand for servers due to propagation of mobile devices, cloud servers and big data. Considering the estimation that the SSD market is likely to increase by 25 percent per year, the market size is predicted to reach around $20.34 billion by 2017.
Currently, the main objective of SK Hynix is to become a leading supplier in the SSD market. If the company fails to drive into the SSD market which would account for more than half of the NAND flash market, its future would become unclear.
Fortunately, ever since Hynix was acquired by SK Group, the company has equipped with a fat purse to carry on the work. Thanks to sufficient funding, SK Hynix is ready to introduce not only SATA SSDs for corporate servers in the second half of this year, but also SSDs for individuals.