We don't want to alarm you but according to research firm Gartner, the launching of the a flash-based iPods with 10GB to12GB later this year could cause a shortage of NAND flash memory. Gartner predicts a shortage of flash supply of 5.8% by the 4th quarter. Previously, the research firm predicted a shortage of approximately 3-4%. "We're expecting a more severe shortage," said Gartner.

The existence of the said iPod model has not been confirmed by Apple, but according to a top exec of an iPod manufacturer, the company is close to unveiling the next generation of itsiPod featuring a "none-touch" concept. It is also not known if the new iPod will feature more than 4GB of flash. Nevertheless Gartner thinks handheld music players led by Apple's iPod will drive growth of the NAND flash market in the second half of this year. 

But there's really no reason to panic. We think civilization as we know it will survive the Great Flash Memory Depression of 2006.