The demand of USB Flash Drive and Flash Memory Card is slowing down, and turning into the higher class of Embedded MultiMediaCard (eMMC) and Solid State Drive (SSD), which helps Phison Electronics Corp. and Silicon Motion Tech. Corp. maintain their leading status in this field, although the followers Solid State System Co. and Skymedi have been running in the red according to an earlier report, the second-tier companies are making a change to break through.

For those the storage and multimedia solution suppliers, designs and markets industry-standard flash memory data storage controllers, digital imaging and audio storage controllers using its patented, the state of the art controller technology companies, the gap has enlarged with the view that Phison and Silicon Motion have received orders from international big firms so that they devote to researching and designing the application of eMMC and SSD.

For the second-tier companies that Solid State System manages a private equity fund, and have Powertech Technology Inc. (PTI) and United Microelectronics in its share-holding to devoting in Micro-electro-mechanical Systems (MEMS), and this year will be put into mass production.

“USB Flash Drive and Flash Memory Card are in a poor performance in our company,and we miss to catch up with the development of eMMC,” said Li Zhe-yu, Chief Financial Officer of Skymedi, “so we make up our mind to develop product line of eMMC, the design of lastest product has been completed, and will be shipped before the second quarter.”

Moreover, Alcor Micro Corp. is not only developing store-related products, but also focusing on the products that are combination of audio and video, like Event Data Recorder (EDR).