| | | The growth in the cloud is not being fully understood. For AWS, IBM, Google, Oracle, and MSFT to grow their cloud business they need storage and processor chips. Some of these processor chips are normal CPUs, but others are like Nvidia's AI/GPU chips which are gigantic and low yielding.
All the cloud providers are growing their businesses north of 20% a year. (IBM just did 24%).
These businesses are already huge. IBM's last quarter was $5.5 Billion. There is a nice article "Cloud Wars" on Forbes...https://www.forbes.com/sites/bobevans1/2018/01/26/amazon-to-become-1-in-cloud-computing-revenue-by-beating-ibms-17-billion/#4ef0c6886b3e
The author is projecting AWS business will have increased by 29%, surpassing IBM's annual total.
Who knows?
Competition in the field is fierce. The newer AI chips and 3-D Nand chips offer faster performance and consume less power.
Intel's recent earnings report also showed increased cloud business.
So I agree that this time is different. There are multiple end markets, like cloud, auto, pc, and mobile phone that are driving increased demand for memory.
History tells me ...You are right!!! |
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