Media Contact

Ms. Lindsay Hou

Tel: +886-2-8978-6488 ext.667

RSS Subscription
  NAND Flash  
  Consumer Electronics  
  Green Energy  
  Internet of Things  
  Automotive Electronics  
  Innovative Technological Applications  

Press Release

Next-generation Memories Have a Chance to Penetrate into the Market 2020, and Datacenters and Other Special Fields Are the First to Use Them, Says TrendForce

Monday , 05 / 20 / 2019 [ Analysts: TrendForce ]

Whether DRAM or NAND Flash, current memory solutions are straining the physical limits of production processes, meaning it is becoming more and more difficult to keep on raising performance and lowering costs. Therefore, there has been much discussion revolving around Intel Optane and other next- generation memories in recent years, in hopes of discovering new solutions while keeping modifications to the current platform to a minimum or even leaving it completely untouched.  DRAMeXchange  , a division of  TrendForce  , holds that next-generation memories and current solutions have their respective pros and cons, with prices forming the most critical areas of opportunity.

TrendForce states that Intel, Samsung and Micron and other memory manufacturers have already begun investments into next-generation memory solutions such as MRAM, PRAM and RRAM. Intel's Optane, for example, uses 3DxPoint as the basis for designing server products. Since the release of DIMMs, which are completely compatible with servers on the market, identical slots allow motherboard design manufacturers to change server modules or Optane solutions at will to control the total cost of the completed product.

However, next-generation memory costs remain high due to the lack of up-scaling and normalization, leading vendors to target datacenters and other special applications, especially hyperscale datacenters with rather highly customized designs, which will allow new configurations to be planned for different memories .

Due to AI reaching maturity and the pervasiveness of intelligent end devices in recent years, many application services have been integrated through the use of servers, especially those application services which require a huge amount of data for computation and training. Furthermore, server demand has been on the rise as virtual platform and cloud storage technologies gradually develop, bringing about the growth of hyperscale datacenters in the process. According to TrendForce's investigations, the number of hyperscale datacenters constructed globally will reach a projected 1070 in 2025, registering a CAGR growth of 13.7 % over the 2016-2025 period.

Memory Prices to Bounce in 2020, Forming an Area of​​​​​​​​​​​​ Opportunity for Next-generation Memories

From a market standpoint, DRAM and NAND are all facing oversupply, and current memory solution prices remain at a low point. The continual descent in DRAM prices is basically due to the drop in server and smartphone demand and the consequent quick-freeze in consumption and accumulating inventories. The NAND market, on the other hand, is prone to wars over market shares, and the shift from 2D NAND to varying degrees of 3D NAND caused supply bits to grow by large. In summary of the above, DRAM and NAND prices slid simultaneously and speedily in 2019, and NAND prices are nearing cash costs for suppliers.

Due to the cheapening trend of existing memory solutions, it may not be the best time for next-generation memories to make their entrance. Yet restocking momentum built through the gradual recovery in demand and price flexibility may occasion a rebound in memory prices in 2020, giving next-generation solutions a better chance to penetrate into the market. TrendForce posits that in the future years to come, there will be more adoption of next-generation memories in the market, allowing them to become alternative solutions.

Global Market Research Institute TrendForce will be holding  Compuforum 2019: The Big Future of Data Economics  , at the Taipei International Convention Center (TICC) on May 31, 2019 during COMPUTEX. Please visit the event website below:

To keep updated with our press releases, please follow our social media pages. facebookGoogle+TwitterLinkin

TrendForce Press Center Copyright Notice
TrendForce grants you a limited license to use and/or republish any of the press releases on TrendForce Press Center for any legitimate media purpose (including copying and redistributing the content of press releases in any format and via any outlets), provided that you follow these license terms:

1. Reference TrendForce as the source on your works, or include a hyperlink to the original release on the TrendForce site.
2. Do not modify any press release wording, or maliciously alter its related information. Users are subject to any civil or criminal liabilities if the information displayed in the copy or redistribution of press releases is inconsistent with the original materials on TrendForce Press Center.
3. Do not modify or add hyperlinks, including but not limited to adlinks, within the press release. The authorization of press releases on TrendForce Press Center does not grant users the right to suggest, approve or endorse their value-added derivatives on behalf of this body.

If your citations of press releases contain mistakes and/or have information missing, TrendForce may, in its sole discretion, direct you to remove the content distributed via TrendForce from your site at any time and for any reason, and you agree to comply with such request.