SEMICONDUCTOR MEMORY MARKET ANALYSIS

Market Challenges And Opportunities

Global Semiconductor Memory Market: Restraints

High production costs are expected to restrain growth of the global semiconductor memory market during the forecast period

Although semiconductor memory solutions are highly advantageous, they are significantly expensive to procure due to high production costs. As a result of this, many end users are hesitant towards buying it. Moreover, manufacturers face cost-based challenges such as high labor wages and employment costs in the U.S. Thus, these factors are expected to restrain growth of the global semiconductor memory market during the forecast period.

Constant fluctuations in raw material supply are expected to hamper the global semiconductor memory market growth over the forecast period

The main raw material required for semiconductor devices is silicon, which is converted into boules or also called single-crystal ingots. Other semiconductor materials include silicon carbide, germanium, gallium arsenide, and more. Since these materials are challenging to obtain, there prevalent a constant issue related to its supply with frequent fluctuations. Thus, these factors are expected to hamper the global semiconductor memory market growth over the forecast period.

Global Semiconductor Memory Market: Opportunities

Modernization vehicle architecture can present lucrative growth opportunities in the global semiconductor memory market

Vehicle architecture modernization provides massive opportunities for market players. Different aspects of vehicle architecture such as automated driving systems, infotainment systems, and safety systems can incorporate semiconductor memory devices, in order to enhance user experience. Flash and DRAM memory are used in lighting control & ADAS systems that offer high-speed and connectivity to the vehicle systems. Key companies in the market can capitalize on these opportunities in the market by provide novel products and gain a significant advantage in the market.

R&D activities can provide major business opportunities in the global semiconductor memory market

Key companies are focused on research and development activities, in order to enhance the market presence. For instance, in November 2018, Micron Technology collaborated with BMW Group to improve the development of automotive memory solutions.