Sony is planning to release a version of the PSP (Playstation Portable) using NAND Flash from Samsung Electronics later this year. The PSP will feature 8 GB of Nand Flash. However recent reports stated that Sony might opt to use a Microdrive instead of NAND Flash. Sony was stalling to negotiate better pricing from Samsung. When rumors circulated on February 16 that negotiations had broken down between Sony and Samsung, spot prices for 1Gbit and 2Gbit NAND flash dropped 5.3% and 3% in one day reported a Chinese daily. Deutsche Bank was also cited by the report as commenting that the failure of Samsung and Sony to reach a supply agreement will suppress NAND flash prices further and push oversupply to 10% this year.

Via – Digitimes