According to an article today published by Reuters the price of NAND flash memory (the basic building block for almost all removable flash media) is set to drop dramatically on the back of price cuts announced by Toshiba and Samsung (two of the largest manufacturers of NAND flash). It appears Toshiba and Samsung are cutting prices in the face of strong competition from upcoming competitors like Infineon, Hynix and Micron. The price cuts amount to an almost halving of the cost of NAND flash compared to October last year. We are beginning to see the oligopoly between Toshiba and Samsung hang on to the last stages of its life, and I'm sure they will want to maximize it while they can," Eric Stang, the chief executive of Lexar Media Inc, told a conference last week.

News article:

Flash Memory Prices Slump as Market Showdown Looms

By Jean Yoon and Daniel Sorid

SEOUL/SAN FRANCISCO (Reuters) - Two companies that dominate the lucrative market for memory chips used in digital cameras and music players are slashing prices to stoke demand and undermine emerging rivals, industry officials and analysts said.

The move by Samsung Electronics Co Ltd and Toshiba Corp is a bonanza for consumers snapping up flash memory devices in increasing numbers and sets the stage for a fierce battle in the most profitable part of the memory industry.

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