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As you noted, flash memory is much faster than disc storage, up to a thousand times faster in fact. This speed in combination with relatively low costs seems to be a winning proposition for use in storage in servers. I think the reason we haven't seen flash memory in data centers in a huge way is simply a result of a lack of storage management software that utilizes it. Once this paucity of software is corrected, flash will be brilliant for server-side cache use, and when automatically tiered within the SAN, can kind of act as a "Super Cache", with the software migrating the most used data or data that is highly I/O intensive, to flash. I think it is coming, it is just a matter of time.