Samsung buys storage software provider NVELO

Infotech Lead Asia: Samsung Electronics has acquired NVELO, a provider of storage software.

Samsung did not disclose the size of the acquisition.

The integration of NVELO’s storage technology into Samsung’s SSD technologies will give Samsung customers access to a portfolio of NAND storage solutions suitable for computing platforms.

“The acquisition of NVELO will enable us to extend our ability to provide SSD related storage solutions to customers. We are pleased with this transaction as the employees of NVELO share our vision to take SSD storage into the next-generation of performance and reliability,” said Young-Hyun Jun, executive vice president of Flash product & technology, Device Solutions, Samsung Electronics.

Recently, Samsung said its solid state drives (SSDs) offer two-three times the endurance of similar MLC-based drives.

Targeted at data centers, Samsung claims that these drives will be useful as high-speed storage for a range of server and storage applications that depend on extremely fast data writing including social media in the cloud, SQL database logs, media streaming, virtualization, video on demand and online transaction processing (OLTP).

Jiurong Cheng, president and CEO, NVELO, said: “We look forward to accelerating storage innovation in close cooperation with Samsung storage experts as we help to deliver fully integrated SSD solutions to the market.”

The acquisition involves all technology and personnel under NVELO.

Meanwhile, SSD shipments in the first half of 2012 amounted to 12.9 million units, according to IHS iSuppli.

IHS said shipments reached 10.5 million in Q3 and will rise to 17.5 million units in Q4, amounting to 28 million units in the second half — more than double the total shipped during the first six months of the year. This is down from the previous forecast of 13.0 million in the third quarter and 20.0 million in the fourth.

Samsung competes with Intel in SSD space.

“Intel Corp. has not matched its ambitious goals for ultrabooks with the marketing needed to propel the platforms as a desirable, affordable alternative to conventional notebooks and tablets,” said Ryan Chien, analyst for memory and storage at HIS, recently.

Pricing for SSDs has fallen below the $1-per-gigabyte threshold, making their value proposition more attractive than ever. Because of this, SSDs are finding uses in other products, helping to compensate for the shortfall in ultrabooks.

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