Smartphones drive strong growth in memory over the next five years

The latest report from IC Insights predicts that DRAM and NAND flash memory will have a CAGR of 7.3% in the next five years, and the output value will increase from $77.3 billion last year to $199.9 billion.

The report divides semiconductors into four types: logic, memory, analog and microcomponents IC. In the five-year prediction interval, the memory growth is the strongest, with analog ICs 5.2% and microcomponents 4.4%. As for logic IC, it is only 2.9%.

IC Insights pointed to the surge in demand for low-power memory for mobile devices such as smartphones, which is the main driving force behind the growth of DRAM and NAND flash memory. In addition, solid-state drives (SSDs) using NAND flash memory are increasingly used in data centers and notebooks.

Samsung announced its fourth-quarter 2016 financial report last Friday. In the case of Note 7's spontaneous combustion recall, the profit even jumped nearly 80% against the trend, which is because it benefited from the surge in memory prices and widened the profit margin.

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