Memory chip makers with a strong presence in the NAND flash market have been the strongest performers in the industry. Meanwhile slowing PC demand has hurt earnings for companies more focused on dynamic random access memory (DRAM). DRAM is widely used in traditional PCs, while NAND is used in popular high-end portable devices such as smartphones and tablet PCs. The Paragon Report examines investing opportunities in the Semiconductor Industry and provides equity research on Micron Technology, Inc. and MIPS Technologies, Inc.
Rapidly growing demand for smartphones, tablets, and ultrabooks are expected to boost NAND revenues for years to come. Smartphones are expected to play a major role in the growing demand for NAND. Shipments of smartphones are projected to total 626 million units in 2012, and by 2016 NAND flash content in smartphones is expected to double. According to research done by IIHS Inc., NAND flash revenues are projected to total $22.9 billion this year, up from the 2011 total of $21.2 billion. IIHS predicts that by 2016 the NAND market should reach $30.9 billion.