Samsung Electronics, SK Hynix, and Micron, the three leading memory chip makers in the world, are reportedly pushing for the popularization of DDR5 memory to help boost the semiconductor market. Industry experts are hopeful that increasing the output and promotion of DDR5 memory will stimulate replacement demand, curbing the downward trend of the semiconductor market.
DDR5 DRAM Performs Twice as Better as DDR4 DRAM
DDR5 DRAM is the latest memory specification introduced by JEDEC, boasting a performance double that of its predecessor, DDR4 DRAM. However, DDR4 DRAM currently dominates the memory market, and experts believe that promoting DDR5 memory is necessary to stimulate demand for newer specifications.
According to market research company OMDIA, DDR5 DRAM is set to take over the memory market by 2024, surpassing DDR4 DRAM. The company predicts that DDR5 DRAM will account for 12% of the DRAM market in 2023, up from just 3% in 2022, and is expected to grow to 27% by 2024, while DDR4 DRAM is expected to fall to 23%.
The popularization of DDR5 memory could have significant implications for the semiconductor market. The semiconductor market has been hit hard by a global shortage of chips, which has impacted various industries, including automobiles, smartphones, and gaming consoles. The promotion of DDR5 memory could help boost the market, as more consumers replace their devices with newer, DDR5-equipped models.
DDR5 memory offers several advantages over its predecessor, DDR4 memory. DDR5 memory has double the data rate, higher memory density, and lower power consumption. These improvements make DDR5 memory ideal for high-performance applications such as gaming, artificial intelligence, and data centers.
The popularization of DDR5 memory is a significant development for the semiconductor market. China saw a 17 percent decline in semiconductor output in 2023 so far. It is expected to help stimulate replacement demand and boost the market, particularly as more consumers upgrade to DDR5-equipped devices. With its higher performance and energy efficiency, DDR5 memory is poised to take over the memory market in the coming years, surpassing DDR4 memory in terms of popularity and usage.
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