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DRAM Revenue to Reach $40 Billion in 2010: Report

A report from IT market analysis firm Research and Markets projected the dynamic random access memory (DRAM) industry will experience robust growth in revenues throughout 2010. Worldwide DRAM revenue is expected to near $40 billion in 2010, up 81 percent from the $22 billion earned in 2009, according to the report. Global DRAM sales volumes […]

Written By
thumbnail Nathan Eddy
Nathan Eddy
Sep 7, 2010
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A report from IT market analysis firm Research and Markets projected the
dynamic random access memory (DRAM) industry
will experience robust growth in revenues throughout 2010. Worldwide DRAM
revenue is expected to near $40 billion in 2010, up 81 percent from the $22
billion earned in 2009, according to the report. Global DRAM
sales volumes are forecast to go from 11 billion in 2009 to 16 billion by 2010.
Both DRAM shipments and average selling
prices (ASPs) are anticipated to surge in 2010 due to stronger-than-estimated
demand for PCs and mobiles.

The report covers the latest information on the revenue and volume of the DRAM
market and provides a product-based forecast of DRAM
up to 2020. The study also covers the key market trends and growth forecasts
for a wide range of DRAM applications that
include the computing, communication, consumer electronics and infrastructure
sectors. This report is built using data and information sourced from
proprietary databases, primary and secondary research, and in-house analysis by
a team of industry experts, the company said.

The global DRAM market for consumer
electronics is expected to grow at a compound annual growth rate (CAGR) of 12.3
percent during the forecast period 2010-2020. The report concluded that the
advanced technology and small form factor of DRAM
make it the first choice for use in consumer electronics, including in
printers, car navigators, mobile phones, smartphones, gaming consoles, laptops
and DVDs, among others.

The study also noted Microsoft’s Windows 7 OS is likely to increase PC sales,
thus giving a significant boost to the demand for DRAM:
PC sales have a strong correlation to DRAM
consumption, with computers being the largest consumers of DRAM.
The report analyzes the market opportunities and challenges for the DRAM
industry in the global arena, with market statistics for key countries such as China,
Japan, Taiwan
and South Korea
analyzed and profiles of key companies such as Samsung Semiconductor, Hynix
Semiconductor, Elpida Memory, Micron Technology, Nanya Technology and Winbond
Electronics provided.

However, at Samsung Electronics’ annual mobile solutions forum in Taipei,
the company warned DRAM sales in Q4 will weaken
due to reduced consumer demand for PCs. "If the PC market continues to
slow, we may see a kind of oversupply in Q4 or Q1," Kwon Oh-hyun, head of
Samsung’s chip business, said in a Reuters report.  

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