Worldwide DRAM revenues declined 5 percent in 2005 to $25 billion, down from $26.3 billion in 2004, according to Gartner Dataquest.

"NAND flash saved the DRAM industry from a major collapse," said Andrew Norwood, research VP at Gartner Dataquest.

During 2005, major DRAM vendors like Samsung Electronics and Hynix Semiconductor diverted production to NAND, saving the DRAM industry from an even more acute oversupply and falling prices.

"Even with their focus on NAND flash in 2005 Samsung and Hynix still dominate the DRAM industry with just under 50 percent of the market between them," added Norwood.

Both vendors managed to increase their market shares slightly over 2004. Third and fourth placed vendors Micron Technology and Infineon Technologies both saw their market shares decline. Nanya saw revenues increase by 21.4 percent and Elpida saw revenues increase by 13.7 percent.

By: DocMemory
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