Industry Overview 

Memory chip market is anticipated to grow at a CAGR of 5.9% during the forecast period (2025-2035). The global digitization initiatives and rapid deployment of data-intensive devices are enabling the memory chip market to expand across the globe. The market players in the memory chip market, including Samsung, Micron, and Patriot Memory, are continuously innovating and developing novel memory solutions for next-generation utility, such as for AI workstations and autonomous driving, which is expected to make the memory chip market innovations relevant for the future. For instance, in June 2024, Micron Technology, Inc. announced samples of its GDDR7, the industry's highest bit-density graphics memory solution. Micron GDDR7 delivers up to 32 Gb/s of high-speed memory in an optimized power form, based on Micron's 1? DRAM process technology and next-generation architecture.

Market Dynamics

Rapidly Expanding Consumer Electronics Market  

The rapid growth & mass availability of different consumer electronics devices including smartphones, laptops, cameras, and smartwatches have been among the major contributors to the growth of the memory chips market. The component serves as an integral part of electronic devices by ensuring smooth operations and providing storage capabilities. However, as the consumer electronics industry advances, most devices are incorporating novel technological & software-based developments, necessitating manufacturers to relatively upgrade the storage ecosystem to support seamless user interaction & device requirements. In October 2021, Micron Technology, Inc. reported that it will spend over $150 billion globally within the next decade for advanced memory manufacturing and R&D, potentially even on a future U.S. fab expansion, because the memory manufacturer seeks to seize upon growing demand that already approaches 30% of global semiconductor spending-impelled by everything from 5G, AI, to ballooning use of data centers, automobiles, and consumer products.

Growing Demand for High-Performance Memory Chips  

The technology market globally has been driving memory chip producers to continuously invest in & design high-performance memory chips to keep themselves in line with the market demands. In recent years, work on a plethora of future technologies, including AI, VR/AR, and HPC, is gaining momentum; hence, such memory chips have to be introduced that support fast data flow and effective data storage. The deployment of similar technology-based devices is projected to maintain an upward trajectory, supporting demand from device manufacturers for high-performance memory chips such as high-bandwidth memory (HBM), graphics DDR, and SDRAM in the future. For instance, in August 2024, Samsung Electronics started mass-producing the industry's thinnest 12-nanometer-class, 12GB, and 16GB LPDDR5X DRAM packages, cementing its position as a leader in the low-power DRAM market. These ultra-slim packages enhance thermal control, which is vital for high-performance applications such as on-device AI.

Market Segmentation

• Based on the type, the market is segmented into volatile memory, and non-volatile memory.
• Based on the application, the market is segmented into laptop/PC, cameras, smartphones, and others (gaming systems, servers).

Non-Volatile Memory to Lead the Market with the Largest Share 

Under type, non-volatile memory remains the more prominent segment of the memory chip market. The memory type supports the future endeavors of market players for developing a resilient storage ecosystem & transitioning into cloud-based workflows based on its capabilities such as data persistence, storage capacity, and applicability. Further, the global demand for offline storage paired with innovation in non-volatile memory is expected to fuel the business footprint of the non-volatile memory type segment. 

Smartphones A Key Segment in Market Growth 

Smartphones account for the key application segment for memory chips, as the global smartphone market has remained the fastest-growing segment in the consumer electronics market in recent decades. This growth trajectory has pushed the consumer electronics type to gain mass availability and development momentum from memory chip manufacturers. Further, the cost-effectiveness & utility features of smartphones paired with the upcoming development plan of the smartphone industry to incorporate highly data-oriented features such as AI-driven software are expected to drive innovation and development of various smartphone-oriented memory types.

Regional Outlook 

The global memory chip market is further divided by geography, including North America (the US and Canada), Europe (the UK, Germany, France, Italy, Spain, Russia, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, Australia and New Zealand, ASEAN Countries, and the Rest of Asia-Pacific), and the Rest of the World (the Middle East & Africa, and Latin America)

Supportive Technological Manufacturing Initiative & Policies in North America 

The North American memory chip market is widely aided by supportive policies, schemes, and programs launched by state-owned organizations to push domestic manufacturing and R&D of diverse electronic components. In recent decades, the regional market has extensively recorded growth in terms of exports, manufacturing, and development of electronic components, including memory chips, based on several manufacturer-oriented initiatives such as the CHIPS incentive by the US Department of Commerce, stimulating manufacturers to invest & develop their ecosystem in the region. For example, in August 2022, Micron Technology, Inc. declared its intentions to invest a total of $40 billion in next-generation memory manufacturing in the U.S. The investment towards the most advanced memory manufacturing in the world is based on the CHIPS and Science Act.

Asia-Pacific Region is Projected to Become the Global Electronics Manufacturing Hub 

Asia-Pacific is projected to exhibit substantial growth in the forecast period owing to the development of regional electronic device and component manufacturing ecosystems in various countries, including India, China, Japan, Vietnam, and others. This trend is aided by supportive policies, manufacturer inclination towards creating infrastructure in the region, and rapidly expanding regional consumption of memory chips in data centers, consumer electronics, and automotive. For instance, in June 2023, Micron Technology, Inc. plans to construct a new assembly and test facility in Gujarat, India, which will be used to produce both DRAM and NAND products.

Market Players Outlook

The major companies operating in the global memory chip market include Samsung Electronics Co. Ltd, SK Hynix Inc., Advanced Micro Devices, Inc., Micron Technology Inc., Elite Semiconductor Microelectronics Technology Inc., Integrated Silicon Solution, Inc., Patriot Memory, Inc., and Western Digital Corp, among others. Market players are leveraging partnerships, collaborations, mergers and acquisition strategies for business expansion and innovative product development to maintain their market positioning.

Recent Developments

• In October 2024, Samsung Electronics disclosed the world's first 24-gigabit (Gb) GDDR7 DRAM in terms of density and speed; the 24Gb GDDR7 will carry outstanding performance that should be widely welcomed in high-performance applications such as data centers and AI workstations and even reach beyond traditional graphics DRAM use cases in gaming consoles and autonomous driving.
• In April 2024, SK Hynix Inc. announced that it had signed a memorandum of understanding with TSMC to collaborate on producing next-generation HBM and enhancing logic and HBM integration through advanced packaging technology. The joint effort is to develop HBM4, the sixth generation of the HBM family, which is scheduled for mass production in 2026.

The Report Covers

• Market value data analysis of 2024 and forecast to 2035.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global memory chip market. Based on the availability of data, information related to new products, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.