Feature Article

October 19, 2012

Popularity of Smartphones, Tablets Leads to Mobile DRAM Reaching Revenue Record during Second Quarter

The popularity of smartphones and tablet computers has led to revenue for mobile dynamic random access memory (DRAM) to break a record in Q2.

IHS iSuppli reported that mobile DRAM revenue was $1.85 billion in Q2, compared to $1.83 billion in Q1. The increase was the fourth consecutive quarter which saw growth in mobile DRAM revenue, the study said.

In addition, the second quarter was marked by increased shipments and relatively steady pricing, according to IHS iSuppli.

Image via Shutterstock

However, the overall DRAM market is down in 2012 compared to 2011. “Overall, the flash memory market isn't doing too well,” said ZDNet’s Rachel King.

But mobile DRAM represented over 26 percent of all DRAM revenue during Q2.

For the mobile DRAM market, Samsung Electronics was first in Q2. It saw sales of $1.1 billion, which is 61 percent of the global mobile DRAM market.

Last month, Samsung began producing next-generation DRAM for mobile devices. It is called “LPDDR3,” – and promises to improve performance in smartphones and tablets.

In the new mobile DRAM study, IHS reported that SK Hynix Semiconductor was No. 2, with sales of $362 million. It has some 20 percent of market share. Elpida Memory was third, with 13 percent market share and revenue of $245 million. Micron Technology was fourth, with four percent share and $79 million in revenue.

In related IHS news, revenue for the flash memory market is predicted to finish the year lower than in 2011, but brighter times are ahead.

The market is predicted to total $24.3 billion in 2012, which is 4.7 percent lower than the $25.5 billion seen in 2011, IHS said.

In addition, the NAND sector will total $20.8 billion and the NOR sector will total $3.5 billion – by the end of December, the study adds.

Edited by Brooke Neuman

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