History (1999): WW Flash Card Market Will Boom to $1.3 Billion by 2002

Research from IDC, Solid State Storage: Flash Card Market Forecast and Review, 1997-2002, estimates that flash card shipments will increase at a CAGR of 69% during the forecast period of 1997-2002, resulting in over 40 million cards shipping in 2002.

“Driven by the surging digital camera market, the total flash card opportunity is expected to increase from $221 million in 1997 to well over $1 billion in 2002,” said Christopher Dawe, research analyst, semiconductor program.

In addition to digital cameras, key drivers for growth in the flash card market include networking, smart hand-held and other consumer devices requiring removable memory.

2.9 million flash memory cards, including all types and sizes, were sold WW in 1997. While CompactFlash and SmartMedia represent the majority of unit shipments within the card market,

CompactFlash will emerge as the predominant form factor solution according to the study due to established market share position and capability to reach higher capacity points.

In 1997, unit shares for CompactFlash and SmartMedia were 59% and 21% of the total market, respectively.

The remainder of the market was comprised of the Miniature Card form factor and Type I, II, and III PC cards.

SanDisk is the 1997 WW share leader in all flash memory cards with 45% in both units and revenues.

IDC predicts that as CompactFlash steadily advances to be the industry standard, units shipped will climb to 78% of the market in 2002.

WW cost per megabyte declines will help drive card unit growth. Research shows that there has been a 50% reduction in cost per megabyte within the flash card industry from 1997 to 1998. IDC believes the decrease will not be as dramatic going forward, however OEM prices will still drop quickly, leveling out to $2 in 1999 and less than $1 per megabyte the following year.

This article is an abstract of news published on issue 132 on January 1999 from the former paper version of Computer Data Storage Newsletter.