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Technology Stocks : Semi Equipment Analysis
SOXX 309.40+1.0%Dec 5 4:00 PM EST
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From: FJB9/8/2018 12:22:23 AM
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Memory production value growth to slow in 2019, says Digitimes Research
Michael Hsu, DIGITIMES Research, Taipei
Friday 7 September 2018

The global DRAM and NAND flash sectors are expected to see their combined output value grow less than 30% in 2018, according to Digitimes Research. The growth will slow to a single-digit rate in 2019.

The output value of the global DRAM sector will reach a record high of nearly US$100 billion in 2018, buoyed mainly by robust demand for servers, said Digitimes Research. Server shipments worldwide are forecast to climb over 15% in 2018, while memory content per box for servers continues rising.

SK Hynix has already put increased focus on server DRAM products. The segment grew as a proportion of the company's total DRAM sales to 38.8% in the second quarter of 2018, up from 24% in the fourth quarter of 2016, Digitimes Research indicated.

Micron Technology saw its server DRAM sales account for 29% of its overall DRAM revenues in the first half of 2018 compared with 22% in 2013.

Digitimes Research believes that DRAM suppliers will be striving to expand their presence in the server market where they are able to make more profits.
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