Global PCB Connections: Let the Spec Fit the Board, Not Just the Brand
Beyond Design: Refining Design Constraints
The Pulse: Design Constraints for the Next Generation
Memory Industry Revenue Expected to Reach Record High in 2025 Due to Increasing Average Prices and the Rise of HBM and QLC
July 22, 2024 | TrendForceEstimated reading time: 2 minutes
TrendForce’s latest report on the memory industry reveals that DRAM and NAND Flash revenues are expected to see significant increases of 75% and 77%, respectively, in 2024, driven by increased bit demand, an improved supply-demand structure, and the rise of high-value products like HBM.
Furthermore, industry revenues are projected to continue growing in 2025, with DRAM expected to increase by 51% and NAND Flash by 29%, reaching record highs. This growth is anticipated to revive capital expenditures and boost demand for upstream raw materials, although it will also increase cost pressure for memory buyers.
Rise of HBM boosts DRAM revenue
TrendForce estimates that benefiting from an increase in average DRAM prices by 53% in 2024 and 35% in 2025, DRAM revenue will reach US$90.7 billion in 2024—a 75% YoY increase—and $136.5 billion in 2025—a 51% YoY increase.
TrendForce identifies four key factors driving the revenue growth of DRAM: the rise of HBM, the generational evolution of general DRAM products, restrained capital expenditures by manufacturers limiting supply, and the recovery in server demand. Compared to general DRAM, HBM not only boosts bit demand but also raises the industry’s average price. HBM is expected to contribute 5% of DRAM bit shipments and 20% of revenue in 2024.
Additionally, the penetration of high-value products like DDR5 and LPDDR5/5X will help raise the industry’s average price. TrendForce estimates that DDR5 will account for 40% of server DRAM bit shipments in 2024, increasing to 60–65% in 2025. LPDDR5/5X is expected to contribute 50% and 60% of mobile DRAM bit shipments in 2024 and 2025, respectively.
High-capacity QLC enterprise SSDs and UFS to drive record NAND flash revenue in 2025
TrendForce projects that NAND Flash revenue will reach $67.4 billion in 2024, a 77% YoY increase. In 2025, driven by the rise of high-capacity QLC enterprise SSDs, the adoption of QLC UFS in smartphones, restrained capital expenditures by manufacturers limiting supply, and the recovery in server demand, NAND Flash revenue is expected to reach $87 billion—a 29% YoY increase. North American CSPs have already begun extensively adopting QLC enterprise SSDs in inference AI servers, especially those with high-capacity specifications.
TrendForce estimates that QLC will contribute 20% of NAND Flash bit shipments in 2024, with this share expected to increase in 2025. In smartphone applications, QLC is expected to gradually penetrate the UFS market, with some Chinese smartphone manufacturers planning to adopt QLC UFS solutions starting in Q4 2024. Apple is anticipated to begin incorporating QLC into iPhones by 2026.
Rising DRAM and NAND Flash revenues set to impact industry ecosystem
TrendForce reports that with record-breaking revenues in the memory industry, manufacturers will have sufficient cash flow to accelerate investments. Capital expenditures in DRAM and NAND Flash industries are expected to increase by 25% and 10%, respectively, in 2025, with the potential for further upward revisions.
The expansion of memory production will boost demand for upstream raw materials such as silicon wafers and chemicals. Conversely, rising memory prices will increase the cost of electronic products. ODM/OEM companies will find it challenging to fully pass on these costs to retail prices, leading to compressed profit margins. This cost increase may also dampen end-user sales, potentially causing a decline in demand.
Share on:
Suggested Items
PCBAA Wins Summit Silver Award from the American Society of Association Executives
07/18/2025 | PCBAAPCBAA was one of 38 associations that earned Silver Awards for outstanding contributions for an entry titled: Chips Don’t Float: More Printed Circuit Boards Must be Made in America.
INSPECTIS AB ‘Makes it a Meal’ with Series U50s Advanced Kit
07/18/2025 | INSPECTIS ABFamous chefs the world over maintain that an entrée doesn’t make a great meal without side dishes. At INSPECTIS, we call those ‘sides’ an Advanced Kit.
July 2025 PCB007 Magazine: Sales—From Pitch to PO
07/18/2025 |Though all parts of a company are essential for holistic success, it is a foundational truth that a company lives and dies by its sales. If there are no sales, the company eventually ceases to exist, or as Henry Ford says, “Nothing happens until someone sells something.” In the July issue of PCB007 Magazine, we break down the sales stack and provide a guide to up your sales game.
Silicon Mountain Contract Services Enhances SMT Capabilities with New HELLER Reflow Oven
07/17/2025 | Silicon Mountain Contract ServicesSilicon Mountain Contract Services, a leading provider of custom electronics manufacturing solutions, is proud to announce a significant upgrade to its SMT production capability with the addition of a HELLER 2043 MK5 10‑zone reflow oven to its Nampa facility.
KONIG Launches KP400: Advanced 3D Digital Conformal Coating System for High-Density Electronics
07/15/2025 | KONIGKONIG, a leader in electronic packaging protection solutions, is proud to announce the launch of the KP400 3D Digital Packaging Solution—a breakthrough conformal coating system that brings new levels of precision, speed, and material efficiency to electronics manufacturing.