Not a terrible surprise, but it does take away some of the perceived value of Indilinx I would think.
I think this adds to the Marvell/OCZ merger discussion.
"Update: Just to clarify, my information says the Everest 1 (Octane, Petrol) is a higher clocked Marvell 88SS9174. The Everest 2 (Vertex 4) could very well be the new Marvell 88SS9187 given its significant performance enhancements. If it is the 9187 that could tell us a lot about just how close OCZ and Marvell are, as the Vertex 4 started shipping less than a month after Marvell announced the new controller."
Quote: "If it is the 9187 that could tell us a lot about just how close OCZ & Marvell are..."
Does everyone still think using Marvell's hardware is still a bad move for OCZ/Indilinx?...I don't see having good ties w/ an industry giant as a negative.
if everyone else is releasing drive based on marvell's chip (corsair, g-skill, micron), can't see how this differentiates ocz. If it's an exclusive to ocz, i'll be more happy.
am glad to have a working relatinship with marvell. maybe this will turn into something big.
It is to the credit of OCZ that they are not waiting for their own, fully-developed in-house controller before launching the V4. The Marvell chip brings immediate credibility as to reliability whilst an in-house chip will have to prove itself in the marketplace. If you don't want to miss the market opportunity, that's what you do.
I don't know about that...
Think about it this way - if you're Marvell and you're thinking of being vertically integrated at some point, why not pass on your own chip to an SSD company like OCZ to see what they can do with it?
Marvell would have a reason to allow OCZ to keep their competitive advantage and OCZ can prove what they can do with the silicon. If the market matures in a certain way, Marvell can just go ahead and buy OCZ out before the big rush of SSD demand (both consumer and enterprise).
If the demand doesn't materialize, then MRVL has limited risk. They didn't buy OCZ and they can operate as they normally do.
It is NOT disappointing. Ryan is clearly focussed on the market and he wants to be there in a timely fashion. And if in-house capability cannot deliver as yet, he gets the job done by utilising external capabilities. Imagine if he does not do this! Shareholders suffer. Great decision by the CEO.
As long as it is reliable and delivers the 400-800 bp margin improvement it should be no problem. I have to admit it would have been nicer to know it was 100% Indilinx but they are contributing high quality firmware. They have a strong connection with Marvell through the R5 as well so the more Marvell succeeds the more OCZ succeeds.
i was lead to believe from all the reviews and conference that the controller (design/architecture/etc) on the v4 was an exclusive in-house job by Indilinx! if that is not the case, i fear what will happen to ocz if this gets blown out of proportion. also how is this goinig to save gross margins?! so instead of paying sf, we're using marvell!!
Agreed....I think of this as gaining instant reliability, instead of having to work through bugs in new hardware. Yes, in the long run having created the hardware would have added to Indilinx's value, but I'm glad OCZ has a reliable platform to build off of. I don't think OCZ could take any more bad press about having "faulty" hardware, so this should give us a nice bump in adoption of the Vertex 4. Besides, as stated in the article, firmware/software is where the value is.
I take it that this means that Everest was not the old Indilinx "Jetstream" controller that everyone thought it was.
On the bright side, at least some longstanding points of curiosity are starting to make sense: 1) How OCZ is able to bring these product iterations to market so quickly. 2) How OCZ got away with only paying $32m for Indilinx.
After having a night to reflect on this, it could be a challenging public relations and investor relations issue in the near term, but when you get into the details this is much different than the casual "rebranding" some of the haters portray it as. I'm not an engineer, but a review of intelligent commenters here and elsewhere confirm that OCZ/Indi still provides the bulk of the differentiating I/P, and this may just be a much more cost-effective way of taking products to market.
In a fast moving market, maintaining strong momentum is a huge factor and ultimately strong sales and continued product and business traction will prove out the merits of this strategy.
Fully agree. Despite much of the recent pontification on the failure of OCZ to bring their own controller to market is nonsense. Unless you are part of the design team for the controller you should not be privy to the contribution of either Marvell or OCZ. It is rather ironic that the collaboration for the R5 was hailed as ground breaking. However similar collaboration for the vertex 4 is somehow cheating. Despite the naysayers, OCZ is now a market leader in the high end ssd market with a product that will have improved margins and a product that does not contribute to the bottom line of LSI/SF. In terms of collaboration these two companies may be synergistically contributing IP while utilizing marvell's much broader chip producing R&D platform. This should not be a viewed negatively particuarily with marvell's recent acquisition of Novellus. The kilamajaro platform will be impressive and will be a marketplace game changer since it is a modular based plarform.
I don't get why some of the absolutely obnoxious positive pumpers on this board continue to try to spin anything and EVERYTHING the company does as well managed and a "GREAT THING"! Serious, wake the f^&& up already and get a grip. Man, I read some of this drivel and I want to puke. While some shorts post garbage propaganda, some of you pumpers post a ridiculous amount of positive puke press I'd like to call it to spin everything single thing into a positive. It's sickening.
How many times can garbage be iterated and then the follow through is laughable before you stop believing the hype?! Seriously. Now talking MRVL merger?! Get a grip.
There are so many red flags up right now, I don't know if I want to touch this stop for a long long long time! But I continue to watch.
1. Secondary with no supporting detail to shareholders as to why other than operating expense. Here's a trick, go for POSITIVE EARNINGS! Yes, I know they said they will have a big big big monster ginormous win before they do a secondary. Ummm... didn't materialize. Huh.
2. No earnings
3. Vertex 4 now NOT OCZ hardware - Only firmware. Ummm, isn't this what they have always done? They have a history of writing their own firmware, so what is so different here?! Garbage.
4. Now, the big question is WHY THE EXPENSIVE PRODUCT LAUNCH costing Q4 profit and likely Q1 profit? So they talk this HUGE game on the conference call, again like so many conference calls before boasting about what they're doing and where it will lead to, but then it leads to no where, and turns out the actual chip is MRVL. So the obvious question is why is there any expense attributed to this product above and beyond any other product they launched?
Time and again, we hear all this boasting on conference calls and it leads no where. It leads ABSOLUTELY NO WHERE. Get some earnings already OCZ! Then I will believe all the pumpers on why every single thing that comes out is a GREAT MOVE FOR THE FUTURE! What future? Without making money, the only expansion is through dilution and most of that is to sustain the business.
"As even Intel has admitted to in the past, the value in delivering an SSD isn't always in controller hardware but rather the firmware and validation"
As long as the Vertex 4 delivers as promised - and so far it is performing brilliantly by any measure - it's going to help the gross margin and bottom line and THAT is ultimately what is going to push the stock price up.
The Indilinx firmware is critical here - it supplies the Ndurance technology to extend the life of the NAND and allows the 5-year warranty.
What's the worry?
Yeah, I mean it just seems SO obvious that it can't be true.
Like I said, you give some silicon to OCZ to see what they can do (like an experiment) and you wait to see how the market turns.
Oh come on. To suggest anyone has caused anyone else to lose money is amateur and utter hogwash. The stock was high 9's/10's not too long ago. I listen to Joe and like a lot of what he says, maybe I'm a hyper-mega-bull too, but that didn't stop me from getting a fill on my sell at 10.03 and I'll verify in a second if you email me. It's why I laugh when people like schempo, lexi, and now you suggest how stupid we all are...and start bringing out personal attacks like you just did.
So mwhummel why don't just hit "ignore user" for Joe and peg me too while you are it? Or if you don't want to do that try and show some character. No reason to attack people - nobody is forcing you to hit the bid, ask, or read these posts on yahoo boards.