Dan's Biz Bookshelf: 'Move Your Bus'
Driving Innovation: Direct Imaging vs. Conventional Exposure
It’s Only Common Sense: Selling to Today's Generation of Buyers
Flash Memory Remains Primary Target for Capex Spending
January 15, 2019 | IC InsightsEstimated reading time: 1 minute
The semiconductor industry is expected to allocate the largest portion of its capex spending for flash memory again in 2019, marking the third consecutive year that flash has led all other segments in spending. Flash memory trailed the foundry segment in capex in 2016, but took an extra-large jump in 2017, growing 92% to $27.6 billion and increased another 16% to $31.9 billion in 2018 as manufacturers expanded and upgraded their production lines for 3D NAND to meet growing demand. With much of the expansion now completed or expected to be wrapped up in 2019, flash capex is forecast to decline 18% this year to $26.0 billion, which still is a very healthy spending level.
- In 2018, SK Hynix completed and opened M15 its new wafer fab facility in Cheongju, South Korea. First devices produced from the factory were 72-layer 3D NAND flash.
- Micron allocated significant resources to upgrade its two existing flash fabs in Singapore and broke ground on construction of a third NAND wafer fab there.
- Toshiba Memory completed construction of a new 300mm wafer plant (Fab 6) at its Yokkaichi site in 1H18. Operations at Phase 1 of the facility are expected to begin in early 2019. Also, Toshiba announced that its next flash memory fab after Fab 6 would be located in Kitakami, Iwate. The company broke ground on this fab in July 2018.
- XMC/Yangtze River Storage Technology (YMTC), which is owned by Tsinghua Unigroup, completed construction of its new fab, installed equipment, and began small-volume production of 32-layer 3D NAND flash.
- Samsung and all of the other “legacy” flash suppliers are well aware of the big plans that China has to be a player in the 3D NAND flash market. Samsung will continue to invest heavily to stay far ahead of existing competitors or new startups and maintain its competitive edge against any who think they can wrestle marketshare away. Samsung spent $13.0 billion on flash capex in 2017 and $9.0 billion in 2018, accounting for 28% of the total $31.9 billion in flash memory capital spending last year. IC Insights estimates Samsung will spend another $7.0 billion for flash capex in 2019.
Share on:
Suggested Items
Wolfspeed Stock Soars After Filing for Chapter 11 Bankruptcy
07/01/2025 | I-Connect007 Editorial TeamOn July 1, Wolfspeed shares doubled following the company’s announcement on June 30 that it had filed for Chapter 11 bankruptcy protection.
Takeaways from the Keynotes at the Edinburgh EIPC Summer Conference
06/16/2025 | Pete Starkey, I-Connect007It was seasonably wet and windy in Edinburgh, Scotland, June 3-4, where delegates from 17 countries convened for the 2025 EIPC Summer Conference to enjoy a superlative program of 18 technical presentations over two days, plus an excursion to a whisky distillery. EIPC President Alun Morgan welcomed everyone to the Delta Hotel, reminding us that in its previous iteration, it was the Royal Scot, traditionally the annual venue of the Institute of Circuit Technology Northern Symposium.
Tariff Effects and China Subsidies Soften 1Q25 Downturn; Foundry Revenue Decline Narrows to 5.4%
06/09/2025 | TrendForceTrendForce’s latest investigations find that the global foundry industry recorded 1Q25 revenue of US$36.4 billion—a 5.4% QoQ decline. The downturn was softened by last-minute rush orders from clients ahead of the U.S. reciprocal tariff exemption deadline, as well as continued momentum from China’s 2024 consumer subsidy program.
Zhen Ding Promotes Digital Transformation and Embraces AI Business Opportunities
06/06/2025 | Zhen Ding TechnologyOn May 27, 2025, General Manager Chen-Fu Chien of Zhen Ding Technology Group was invited to attend the "2025 Two Thousand Forum" held by The CommonWealth Magazine.
VDMA Forecast 2025: German Robotics and Automation Faces 10% Revenue Drop Investment Restraint Shapes the Outlook
06/02/2025 | VDMAThe robotics and automation industry in Germany is expected to generate total sales of €14.5 billion in 2025. This is a drop of ten percent compared to the previous year.