Phison Strengthens its Position in Automotive Storage Market: Secures Automotive Functional Safety Certification ISO 26262

Functional Safety Certification Enables the Company to Develop System-Critical Automobile Storage Solutions for Driverless Cars and Intelligent Vehicles

SAN JOSE, Calif.--(BUSINESS WIRE)--Phison Electronics Corp. (TPEX:8299), a leading provider of NAND controller and NAND storage solutions integration services, announced today that it has passed the automotive functional safety development process certification, ISO 26262, allowing Phison to continue strengthening its presence in the automotive industry.

The automotive storage market has always been a major growth driver for the NAND storage manufacturers. According to recently published market research data, the current global annual sales volume of automobiles is around 70 million to 90 million units, with recent fluctuation related to the pandemic and a shortage of automotive chips. Although many NAND storage devices are currently used in vehicles, they are still mainly used in small-capacity applications, including car navigation, driving recorders, digital electronic instrument panels, electronic center consoles, and audio-visual equipment. However, this trend will change with the development of driving assistance systems and self-driving cars.

According to the data from the world's largest automotive memory and car manufacturers, the NAND storage capacity required by each car is projected to increase from currently below 1TB to potentially 4TB in the next 10 years; in other words, the automotive storage market will be a major growth opportunity for the NAND storage industry. For the past 10 years, Phison has been growing the market share in the automotive storage segment. Currently, Phison is the world's largest supplier of automotive eMMC controller chips, which are widely used in the in-vehicle infotainment and cockpit displays, ADAS systems, etc.

In order to maintain its leadership position and capitalize on the growth of the automotive storage market, Phison continues to actively invest in the research and development of automotive storage controllers. At present, it has a complete set of automotive storage solutions, including eMMC, BGA SSD, UFS, and SD/microSD products, solidifying Phison’s position as the world's most complete automotive storage solution provider.

In terms of industry certifications and quality control, Phison’s solutions have passed the AEC-Q100 certification, the firmware design has been introduced into the Automotive SPICE process, and Phison’s contracted manufacturer has passed the IATF16949 certification. With the addition of the recently awarded ISO 26262 certification, the company has further strengthened its automotive safety design process, enabling Phison to design and build the world's most complete and reliable automotive storage solutions. For more information on Phison’s automotive products, visit: https://www.phison.com/en/automotive.

Kuo Yao Wen, Vice President of SGS Group Taiwan, who guided Phison to pass ISO 26262, said, "As the automobile market leans more deeply into autonomous vehicle technology and computer-driven applications, functional safety and stricter development and QA process throughout the supply chain are critical. The Functional Safety Certification is an important point of validation and a milestone in the journey to build automotive storage solutions that lead to safer vehicles. SGS Taiwan is proud to work with Phison as they seek to increase customer value, improve safety and reliability standards and expand the international automotive electronics market.”

K.S. Pua, CEO of Phison Electronics, explained that due to the sensitivities, requirements and regulations in the automotive market, including long customer verification processes (1-2+ years), long-term supply contracts (10+ years), and extremely high product stability standards (target DPPM 0, no failures during product use), Phison’s process starts at the design level to ensure that the company’s automotive storage solutions meet the needs of global automotive customers. Phison has also built a set of safety mechanisms into its automotive products designed to detect impending failures and notify vehicle owners in advance, further ensuring that its products are safe.

K.S. Pua also emphasized that building the world's most reliable and complete automotive storage solutions has always been Phison's long-term goal. Through Phison's strong R&D and customization capabilities, Phison is committed to meeting the needs of global automotive storage customers and jointly welcoming the era of self-driving and electric vehicles.

Phison quick facts

• Over 20 years experience in NAND controller IC design and module integration
• Over 3,000 employees globally, more than 70% are engineers
• Nearly 2,000 memory-related patents globally
• Target long-term revenue of NT$100 billion through the 5+5 growth strategy
• Exceeds 20% of the global market share of SSD controllers
• $2.23B sales revenue in 2021.
• Unique business model that can produce consistently strong cash flow and profits over long-term NAND memory market cycles.
• Committed to maintaining long-term partnerships with our global NAND flash supply sources and with our downstream module customers

About Phison

Phison Electronics Corp. (TPEX:8299) is a global leader in NAND Flash controller IC and storage solutions. Phison provides a variety of services from controller design, system integration, IP licensing to complete turnkey solutions, covering applications across SSD (PCIe/SATA/PATA), eMMC, UFS, SD and USB interfaces, reaching consumer, industrial and enterprise markets. As an active member of industry associations, Phison is on the Board of Directors for SDA, ONFI, UFSA and a contributor for JEDEC, PCI-SIG, MIPI, NVMe and IEEE-SA.

To learn more about Phison, please visit the Phison Website or Phison Q&A for details.