In the interest of supply and demand, SanDisk and Toshiba have entered a joint agreement to build a massive NAND fabrication facility in Japan.

But what with all this fuss with NAND memory? Why are they so attractive?

Due to the rise in demand and sales of devices such as portable MP3 players and other portable storage devices, NAND flash memory technology is clearly becoming the storage technology of choice. In regards to capacity, hard drive based storage is also popular, but due to the risk of damaging the hard drive because of sudden movements, NAND flash technology offers data security for consumers.

Considering this, SanDisk and Toshida reached an agreement to build a large 300mm fabrication facility to compliment Toshiba’s current 300mm facility which is operating in Yokkaichi, Japan.

The two companies have announced that construction of the new facility will begin in August of this year and is expected to be complete by 4^th quarter 2007. Initial production runs of NAND flash memory will also commence in 4^th quarter 2007.

According to Mr. Masashi Muromachi, Toshiba Semiconductor’s President and CEO said “we will maintain leadership in the market through continued proactive capital investments in production capacity and advanced process technology and multi-level cell technology. Fab 4 will further secure our ability to respond to demand for higher-density NAND flash in this rapidly growing market.”

Intel also intends to use NAND memories into its devices. The company intends to integrate NAND flash memory into laptop and desktop designs to enable such things as faster boot and load times as well as reduce the energy costs associated with mechanical storage technologies.