Updated date as on - Feb 18, 2020

MarketsandMarkets forecasts the next-generation memory market to grow from USD 2.4 billion in 2017 to USD 6.7 million by 2023, at a Compound Annual Growth Rate (CAGR) of 26.5% during the forecast period. Some of the key factors driving this market are big data demand for universal memory devices; increasing demand for enterprise storage application; and need for high bandwidth, low power consumption, and highly scalable memory device for technologies such as artificial intelligence (AI), Internet of Things (IoT), and Big Data. The objective of the report is to define, describe, and forecast the next-generation memory market size based on by technology, storage type, application, wafer size, and region.

Enterprise storage holds the largest share of the next-generation memory market

The demand for enterprise storage is more owing to the growing date centers across the globe. Increasing need for data storage capabilities in cloud storage and data centers is also creating demand for NGM storage devices in enterprise storage.

The magneto-resistive random-access memory (MRAM) held a larger share of the next-generation non-volatile memory market

This growth can be attributed to its improved performance, higher endurance, lower power consumption, better scalability with extremely high write endurance, and much higher write speeds than other non-volatile memory technologies. Among the volatile memory storage devices, the hybrid memory cube (HMC) is expected to hold a larger share of the market due to its higher bandwidth, increased scalability, and better power efficiency, compared to HBM.

300mm wafer manufacturing holds the largest share of the next-generation memory market

Based on wafer size as it can accommodate twice as many dies per wafer as 200 mm wafers and ensure 2�4% lower IC cost/cm per year. Key players such as Micron technology, Samsung, and SK Hynix are currently manufacturing most of the memory technologies on 300mm wafer

The next-generation memory market for consumer electronics is expected to grow at a faster rate

The emerging memory technologies are mostly driven by connected and wearable devices. Smartphones, digital cameras, gaming devices, and other consumer electronic devices also need memory technologies in bulk. With increasing consumer electronics market, the demand for emerging memory technologies is also expected to increase.

APAC acquired the largest market for next-generation memory in 2016

APAC is one of the key markets for next-generation memory technologies owing to their tremendous scope in various applications. This can be mainly attributed to the large adoption of consumer electronics, especially smartphones, tablets, and laptops, in APAC, which makes it a high-potential market for consumer electronics products. The increasing demand for memory in consumer electronics products is driving the mass production of emerging memory technologies in APAC.

Market Dynamics

Driver: Need for high bandwidth, low power consumption, and highly scalable memory device for technologies such as Artificial Intelligence (AI), Internet of Things (IoT), and Big Data

Increasingly, the Memory devices are increasingly becoming a bottleneck in the data storage and retrieval processes, and this has been which is limiting the performance of the data storage systems. To achieve a substantial improvement in the computation speed, scientists are racing making efforts to develop smaller and denser memory devices that operate operating with high speed and low power consumption.

With the advent of advanced technologies such as artificial intelligence (AI), big data and the internet of things (IoT), data centers are now required to process and store more information than ever before. Further, most businesses depend on a successful core data center infrastructure. A highly functioning data center has several requirements such as high performance, availability, scalability, and manageability. Moreover, the increasing demand for semiconductors are also expected to drive the next generation memory market. Key players are also investing in the memory technologies and semiconductor components deployed in technologies such as AI, IoT, and big data. As per Samsung Electronics (South Korea) article published in July 2017, the company is planning to invest USD 26 billion to expand its semiconductor fabrication capacity and mass produce memory for internet of things (IoT), artificial intelligence (AI), big data, and automotive technologies.

Also, there is a strong need for memory with high efficiency and performance in the network system for data packet buffering, data packet processing, and storage applications beyond 100 Gb/s. Thus, Hybrid Memory Cube and High-Bandwidth Memory, which provide 160 Gb/s and 128Gb/sec, respectively, can efficiently replace DRAM, achieving competitive speeds at much lower power consumption. Thus, Hybrid Memory Cube and High-Bandwidth Memory that provides 160 Gb/s and 128Gb/sec respectively bandwidth memories can be a feasible DRAM replacement, achieving competitive speeds at much lower power consumption.

Low power consumption is another attribute characteristic of the emerging non-volatile memories. Reducing memory power consumption which can help can save up to 5% to 10% of the total power drawn. Therefore, memory power management is a very critical aspect when server configurations require a minimized power budget. Many of these new non-volatile memory technologies, such as 3D XPoint, STTMRAM, and NRAM, and so on are inherently more scalable and are suitable for the next generation of mobile computing and enterprise storage that would require high-capacity memories capable of storing and rapidly accessing videos and a large database without overburdening battery power sources.

Restraint: Lack of stability under extreme environmental conditions

Stability under high temperature and extreme environmental conditions are among the essential requirements for emerging memory technologies. The major advantage of traditional memories is their stability and performance under high temperature. Hence, they are used in multiple applications where they are exposed to extreme high and low temperatures in the range of −40�C to 150�C. However, certain scalability and stability issues are encountered in the operation of most next-generation memories in such extreme environmental conditions. The Hybrid Memory Cube operates in temperature ranges of 0�C to 95�C, while ReRAM operates between 40�C and 85�C. These shortcomings of the next-generation memory technologies restrain their adoption in the market. The impact of this restraint is high at present as most of the emerging memories are in the development stage. However, there is no standardized process been set for emerging memory technologies. However, in the future, the impact of this restraint will eventually decline with advancements in next-generation memories.

Opportunity: Growing demand for emerging nonvolatile memory in connected devices

The NAND memory is extensively used in smart devices with advancements in wireless technologies. Wearable and connected devices need a very high data transfer rate. These requirements can be fulfilled by next-generation memories that can provide higher memory capacity. Companies in this market such as Adesto Technologies (US) and Everspin Technologies (US) are focused on offering dedicated emerging memory solutions for IoT and wearable devices.

The development of the Internet of Things (IoT) with improved network connectivity and data transfers is expected to boost the next-generation memory market. The acceleration in the development of self-driving cars would also create new growth avenues for the next-generation memory market for the automotive industry.

Emerging nonvolatile memories are expected to be used widely in connected devices during the forecast period owing to their high endurance, lower power requirement, and high density. The impact of this driver is high at present on the next-generation memory market.

According to the article by National Cable & Telecommunications Association on �Growth in the Internet of Things� published in May 2016, the number of connected devices globally is expected to increase significantly. The figure below shows the growth in the market for connected devices worldwide between 2012 and 2020.

Challenge: Optimizing storage densities and capacities

High-density memories such as ReRAM, NVDIMM, etc. face numerous challenges related to poor scalability. Scalability refers to the ability of a product to function well even when there is a change in its size and capacity. These memories are incapable of adhering to the required levels of endurance, noise margin, and reliability. There is limited capacity for electron storage in high-density nonvolatile memories. Usually, higher density memory technologies are preferred in consumer electronics as they allow a greater volume of data to be stored in the same physical space. Optimized storage density will also enable the device to perform better. The impact of this challenge is high at present, but it is expected to reduce in the next few years.

Scope of the Report

Report Metric Details Market size available for years 2015-2023 Base year considered 2016 Forecast period 2017-2023 Forecast units Value (USD) in million Segments covered Technology, storage type, wafer size, application, and region Geographies covered North America, APAC, Europe, and RoW Companies covered Samsung Electronics (South Korea), Toshiba (Japan), Micron Technology (US), Intel (US), Western Digital (US), SK Hynix (South Korea), Fujitsu (Japan), Everspin Technologies (US), and Microchip Technology (US), Adesto Technologies (US), Advanced Micro Devices (US), Avalanche Technology (US), Cypress Semiconductor (US), IBM Corporation (US), NXP Semiconductor (Netherlands), Open-Silicon (US), Rambus Inc. (US), Spin Transfer Technologies (US), Texas Instruments (US), Viking Technology (US), 4DS Memory (Australia) Crossbar Inc. (US), Nantero (US), Kilopass Technology (US),

This research report categorizes the next-generation memory market based on technology, storage type, wafer size, application, and region.

Next-Generation Memory Market, by Technology

Non-volatile memory

Volatile memory

Next-Generation Memory Market, by Storage Type

Mass Storage

Embedded Storage

Others

Next-Generation Memory Market, by Wafer Size

200 mm

300 mm

450 mm

Next-Generation Memory Market, by Application:

Consumer Electronics

Enterprise Storage

Automotive and Transportation

Military and Aerospace

Industrial

Telecommunications

Energy and Power

Healthcare

Agriculture

Retail

By Geography

North America

Europe

Asia Pacific (APAC)

Rest of the World (RoW)

Key Market Players:

Key players in the solid state drive market include Samsung (South Korea), Toshiba (Japan), Micron Technology (US), Intel (US), Western Digital (US), SK Hynix (South Korea), Fujitsu (Japan), Everspin (US), and Microchip Technology (US), Adesto Technologies (US), Advanced Micro Devices (US), Avalanche Technology (US), Cypress Semiconductor (US), IBM (US), NXP Semiconductor (Netherlands), Open-Silicon (US), Rambus (US), Spin Transfer Technologies (US), Texas Instruments (US), Viking Technology (US), 4DS Memory (Australia) Crossbar (US), Nantero (US), Kilopass Technology (US).

Samsung Electronics held the leading position in the global NGM market in 2016. The company is one of the world�s largest IT companies and a leading provider of next-generation memory solutions, such as computing DRAM, consumer DRAM, graphics DRAM, V-NAND, SSDs, foundry solutions, and mobile memory solutions. The company has a dedicated memory business unit that extensively works for the development of various DRAM and NAND products with higher densities.

The company focuses on both organic and inorganic growth strategies to expand its share in the NGM market. For instance, in 2017, Samsung acquired Harman for USD 8 billion. Through this acquisition, the company would accelerate the growth of the memory business in automotive and connected devices. Furthermore, the company�s strong brand image has contributed to its growth in the NGM market.

Recent Developments:

In August 2017, The company launched V-NAND (Vertical NAND) memory solutions and technologies, namely, 1Tb V-NAND chip, 16-terabyte (TB) NGSFF (next-generation small form factor) SSD, and Z-SSD technology to address requirements of next-generation storage systems and data processing.

In April 2017, SK Hynix launched the 2Znm 8Gb GDDR6 (Graphics DDR6) DRAM. It operates at a faster I/O data rate of 16 Gbps per pin than traditional memory technologies. The company also plans to mass-produce the memory solution with high-performance GDDR6 DRAMs by 2018.

In August 2016, Fujitsu Semiconductor and Mie Fujitsu Semiconductor Limited (Japan) signed an agreement with Nantero. Together, they will work for the joint development of NRAM and non-volatile RAM using carbon nanotubes based on 55 nm process technology.

Critical questions the report answers:

Where will all the developments take the industry in the mid to long term?

What are the emerging applications that are expected to drive the next-generation memory market?

What are the key strategies adopted by leading companies in the next-generation memory market?

What are the trends prevalent in the next-generation memory market?

What advanced technologies are expected to gain traction in the next-generation memory market?

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