Bankruptcy On The Cards For SSD Maker OCZ

At the start of 2011, OCZ announced it would leave the enthusiast RAM market to focus on solid-state drives. Two years on and it appears the decision didn't pan out for the company, with a bankruptcy filing likely, followed by the liquidation of its assets if no interested buyers can be found.

A press release explains the gory details, with OCZ unable to comply with certain "operating ratios and covenants" in a loan agreement with finance company Hercules Technology Growth Capital. Hercules has since taken control of OCZ's accounts and will sort out what to do with its various bits and pieces in the coming months.

It's not all bad news, however, with the release stating that Toshiba might pick up a substantial portion of OCZ. What it plans to do with that portion is anyone's guess.

SSD prices have plummeted over the past 18 months and with outstanding and affordable products coming from the likes of Crucial and Samsung — and the super-cheap options from lesser known brands — it must have been difficult for OCZ to carve a place for itself in the market.

As Lee Hutchinson over at Ars Technica notes, OCZ always struggled to release a killer product to revitalise both its fortunes and brand and as you'd expect, it eventually ran out of steam.

Once-great SSD manufacturer OCZ filing for bankruptcy [Ars Technica]


Comments

    are they selling cheap SSd's for cents on the dollar to recoop costs? if so where do I go to purche such usually overpriced crap?

    Good!

    Once they are bankrupt they will stop making unreliable drives. Data is too precious to risk to OCZ.

      Got 3 ocz drives all going fine.
      This article explains why I can't find them now.

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