18 Mar 2020 -
 General

Memory market set to tumble, says TrendForce

If predictions by DRAMeXchange research division of TrendForce prove to be correct, the memory market is in danger of entering a slump.

TrendForce’s initial demand forecasts were positive, based on DRAM and NAND Flash seeing a limited supply growth in 2020, at 13% and 32% YoY respectively, and that many clients were holding relatively low inventory, but they now forecast a decline.

Factors include:

  • Sluggish consumer demand. Smartphones in particular are likely to see the greatest drop in consumer demand.
  • A weakened readiness to raise inventory levels.
  • Logistics and supply-chain problems, forcing some companies out of the market.

As the global economy cools down, and consumer confidence dips, it is forecast that demand for electronic devices will continue to decrease. At the same time, logistics and human resource difficulties may trigger an industry-wide re-organisation and reshuffle.

See more here: https://evertiq.com/news/47903

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