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NAND Flash Revenue Expected To Rise 8% This Year

by: Olan Dantes Friday, April 20th, 2012

According to an IHS iSuppli report the market for NAND flash memory, including SSDs, will grow 8% this year. The report mentioned that the major sales drivers are ultrabooks which are equipped with solid state drives.

The number for the industry last year was $21.2 billion and the projected revenue this year is $22.9 billion. By 2016, the revenue is expected to rise to $30.9 billion because of the increase in consumption of NAND flash-based products like ultrabooks as well as smartphones and tablets.

The earnings for last year were below expectations and experts believe it was because of the lack of enthusiasm for tablets in the last quarter. The success of the iPad and Amazon’s Kindle Fire is undeniable but you cannot say the same for other tablet brands.

The longer battery life, faster boot-up times and thinner body of ultrabooks make the portable computer appealing for users. If this is right, the NAND consumption in the PC segment will account for 15% of overall NAND flash supply.

Besides ultrabooks, smartphones could help boost the NAND industry revenue. It is expected that 626 million of smartphones will be shipped out this year. That accounts for 5.7 billion GB of NAND flash consumption for 2012 which is 2.6 billion GB higher than last year.

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