NEW YORK, NY — (Marketwire) — 08/19/11 — With the noticeable downturn in the PC market and the DRAM chips that are used in them, many companies in the Memory Chips sector seem to be focusing more on flash memory chips used in smartphones and tablet devices. The Bedford Report examines the outlook for companies in the Technology Sector and provides investment research on Micron Technology, Inc. (NASDAQ: MU) and SanDisk Corporation (NASDAQ: SNDK). Access to the full company reports can be found at:
One of key drivers for NAND technology has been Apple-s iPhone and iPad. On the downside, research from IHS Supply argues that Apple could — ironically — be responsible for future weakness in the NAND market. IHS Supply says that with the introduction of the iCloud storage service, the massive demand for Apple-s various mobile devices could have a detrimental effect as less memory is required.
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While the downturn in PC sales has squeezed the DRAM market, mobile DRAM sales remain strong, according to IHS iSupply. First-quarter revenue from mobile dynamic random access memory jumped 153% from a year earlier and rose 9.9% from the previous quarter-s $1.88 billion, the research firm said. The roughly $190 million sequential increase almost surpassed the entire mobile DRAM market in the first quarter of 2009, a sign of how quickly the mobile business has grown.
iSupply argues that the proliferation of 8-gigabyte and 16-gigabyte mobile memory chips in tablet computers is expected to boost mobile DRAM densities by a factor of almost 14 over the next few years.
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