SSD Controllers Market to Grow from $22.7 Billion in 2022 to $26.6 Billion in 2023

According SSD Controllers Global Market Report 2023 (200 pages, $4,000) from ReportLinker, major players in the SSD controllers market are Marvell Technology Group (UK), Samsung (South Korea), Intel (US), Toshiba (Japan), Western Digital (US), Micron Technology Inc. (US), NetApp (US), IBM (US), Phison Electronics Corporation (Taiwan), Silicon Motion Technology Corporation (Taiwan), SandForce (US), Fusion-Io Inc., Seagate, Microsemi, Mushkin, Lexar Media, G.Skill, Violin Memory, Corsair Components, and Best IT World Pvt. Ltd. (India).

The global SSD controllers market grew from $22.69 billion in 2022 to $26.59 billion in 2023 at a CAGR of 17.2%.

The Russia-Ukraine war disrupted the chances of global economic recovery from the Covid-19 pandemic, at least in the short term. The war between these 2 countries has led to economic sanctions on multiple countries, a surge in commodity prices, and supply chain disruptions, causing inflation across goods and services, and affecting many markets across the globe.

The SSD controllers market is expected to grow to $40.73 billion in 2027 at a CAGR of 11.2%.

This market consists of sales DRAM, NAND, and power management ICs. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The SSD controller include electronic devices that link flash memory components to host SSD input or output interfaces or computers. Using an SSD controller, the integrated CPU delivers performance while requiring minimal power.

SSD controllers are electrical components that are also included within a single IC. SSD controller embedded processors employ micro-controllers with 16 or 32 bits.

North America was the largest region in the SSD controllers market in 2022. AsiaPac is expected to be the fastest-growing region in the forecast period.

The main types of SSD controllers are SLC, MLC and TLC.

SSD controllers storage are SATA, SAS and PCIe that are used by enterprise, automotive, industrial and other users.

The increasing demand for cloud-based data centers is expected to propel the growth of the SSD controller market. A cloud data center relocates a typical on-premise data center to a different location.

An enterprise rents infrastructure maintained by a 3rd-party partner and accesses data center resources through the Internet rather than maintaining its infrastructure. Increasing demand for data centers leads to the need for storage, resulting in the demand for SSD controllers.

For example, in October 2021, Amazon Web Services spent $35 billion on cloud computing infrastructure in Northern Virginia, highlighting the huge impact data centers can have on regional economies. According to the United States International Trade Commission (USITC), as of January 2021, there were around 8,000 data centers in the world.

USA (33% of the total), UK (5.7%), Germany (5.5%), China (5.2%), Canada (3.3%), and the Netherlands (3.4%) are the nations with the most data centers. Therefore, the increasing demand for cloud-based data centers is driving the SSD controller market.

The introduction of 3D NAND technology in SSD controllers is a key trend in the SSD controllers market. 3D NAND also called vertical NAND or V-NAND employs a stacked design to organize memory cells within an SSD. 3D NAND allows suppliers to pack more capacity into a smaller physical space at a lower cost. It also leads to faster performance, longer battery life, and lower power usage. Every major SSD manufacturer currently offers 3D NAND SSDs.

For instance, in 2020, Intel Corporation launched 144L 3D NAND for datacenter SSDs. In May 2017, Western Digital launched a 3D NAND SATA SSD using 64-layer 3D NAND technology for increased capacity and less cell-cell interference.

In January 2022, SK Hynix Inc. acquired the first phase of Intel NAND technology and SSD business for $7 billion and formed a new subsidiary, Solidigm, in San Jose, CA. Through the acquisition, it uses its NAND flash business to propel it into the worldwide top tier. The acquisition includes the assets of Intel’s SSD business and the Dalian NAND flash manufacturing facility in China. The remaining assets concerning Intel’s NAND business include IP related to the manufacture and design of NAND flash wafers, R&D employees for NAND flash wafers, the Dalian facility workforce, and other associated tangible and intangible assets.