The research study covers the present scenario and growth prospects of the global DRAM market for 2017-2021. Technavio presents a detailed picture of the market by way of study, synthesis, and summation of data from multiple sources. The analysts have presented the various facets of the market with a focus on identifying the key industry influencers.
DRAM is one of the major components in any computing device, and so it has been responsible for the rapid growth in devices such as smartphones and computers. DRAM has increased the memory of computers at a lower price. This allows for a diverse set of more powerful technological products to be created for the market, which is necessary for mainstream technology consumers, who, with the help of DRAMs, can own powerful personal technology on a more affordable budget.
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Technavio hardware and semiconductor analysts highlight the following three factors that are contributing to the growth of the global DRAM market:
Shift of DRAM market from PCs to mobile devices
The demand for DRAM is increasing in various devices ranging from servers to mobile devices. In 2006, nearly 65% of DRAM shipments were used in desktops or laptops. However, the shipment of DRAMs in PCs came down by less than 50% in 2016 and will fall to less than 40% by the end of 2017. With the rapid adoption of wireless mobile devices, the market is slowly and steadily entering a phase where computers will become redundant for daily uses and applications.
Exits in DRAM market
From 2010 to 2014, a number of DRAM suppliers either reduced their presence or exited the market completely. Taiwan is no longer the mainstream supplier, while notable DRAM makers like Qimonda of Germany filed for bankruptcy and Elpida Memory of Japan was acquired by Micron Technology.
Navin Rajendra, an industry expert in embedded systems research from Technavio, says, “By the end of 2017, only three DRAM manufacturers, Samsung and SK HYNIX of South Korea and the US-based Micron Technology, will lead the market. With fewer entities to influence the market, a more conservative approach toward capacity expansion is expected, and more stable growth can follow.”
“There is a slower pace of advances in DRAM manufacturing processes. Each new generation of DRAM manufacturing technology presently takes longer to arrive. The engineering challenges associated with shrinking DRAM size smaller than 30 nm and eventually below 20 nm are considerable. Because of this delay, shipments in end-products get affected, and the customer demands cannot be met on time,” says Navin.
- Samsung Electronics
- SK HYNIX
- Micron Technology
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Technavio analysts employ primary as well as secondary research techniques to ascertain the size and vendor landscape in a range of markets. Analysts obtain information using a combination of bottom-up and top-down approaches, besides using in-house market modeling tools and proprietary databases. They corroborate this data with the data obtained from various market participants and stakeholders across the value chain, including vendors, service providers, distributors, re-sellers, and end-users.
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