by The global Electrically Erasable Programmable Read Only Memory Market is estimated to be valued at US$780Mn in 2023 and is expected to exhibit a CAGR of 4.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Electrically Erasable Programmable Read Only Memory or EEPROM is a type of non-volatile memory that can be erased and reprogrammed electrically. EEPROM chips are used in systems to store firmware or configuration data that can be erased or rewritten. They are primarily used in automotive applications to store calibration tables, diagnostic information, timestamps, and user preferences. Due to capability to retain data even when the power is turned off, EEPROMs also find applications in industrial systems, medical equipment, remote controls, solid state drives, and removable storage media. EEPROMs offer significant advantages over other types of non-volatile memories such as flash memory. They have higher endurance withstanding millions of erase-write cycles compared to hundreds of thousands for flash. EEPROMs also have faster write and erase speeds than flash memories.
Market key trends:
Growing demand from automotive industry: The automotive industry is one of the largest end-users of EEPROM memory due to its ability to store mission critical data securely. Modern cars increasingly rely on electronics and EEPROMs are used broadly in engine control modules, ABS controllers, navigation systems, infotainment systems and telematics control units. With increasing vehicle electrification, demand for EEPROM is expected to rise steadily over the forecast period.
Adoption in industrial equipment: Industrial equipment such as factory robots, CNC machines, 3D printers, medical systems and process control equipment use EEPROM to store machine configurations, calibrations, diagnostics and firmware updates. The industrial automation trend is driving robust demand growth in this segment.
Advancements in data storage technology: Research is ongoing to develop new EEPROM technologies with higher density, faster speeds and lower costs. 3D NAND and phase change memory are promising technologies being developed as potential EEPROM replacements. Technological innovation will help widen the market scope over the coming years.
Porter’s Analysis
Threat of new entrants: The EEPROM market has moderate threat from new entrants due to high initial capital investment requirement to set up manufacturing units. However, new players can enter the market through mergers and acquisitions or by providing technological innovation.
Bargaining power of buyers: Buyers in the EEPROM market have moderate bargaining power due to availability of substitute memory solutions. However, differentiated product offerings and innovation provides advantages to existing players.
Bargaining power of suppliers: Suppliers have low to moderate bargaining power due to availability of substitute raw material suppliers and commoditization of raw materials. Supplier switching cost is also low to moderate.
Threat of new substitutes: Threat from substitutes is moderate as flash memories, static RAM, and magnetic storage devices provide alternate memory solutions. However, EEPROM holds advantages in terms of functionality, flexibility and non-volatility.
Competitive rivalry: The global EEPROM market is fragmented in nature with presence of large number of players globally. Intense competition exists among players to gain leading market position.
Key Takeaways
The global Electrically Erasable Programmable Read Only Memory (EEPROM) market is expected to witness high growth, exhibiting a CAGR of 4.0% over the forecast period, due to increasing demand for embedded memory solutions in electronic systems. EEPROM offers advantages of non-volatility, flexibility and functionality and finds usage in embedded applications including IoT devices, industrial equipment etc.
The Asia Pacific region dominated the global EEPROM market in 2023 with a share of around 35%, driven by widespread electronics manufacturing industry in countries such as China, Taiwan, South Korea and Japan. Rapid industrialization and growing number of smart connected devices has augmented the demand for embedded memory solutions in the region.
Key players operating in the EEPROM market include Atmel Corporation, Hitachi, Ltd., Infineon Technologies AG, Intersil, Linear Technology Corporation, Macronix International, Maxwell Technologies, Microchip Technology, Mitsubishi Electric Corporation, NXP Semiconductors N.V., ON Semiconductor, Renesas Electronics Corporation, ROHM Semiconductor, Samsung Electronics, Seiko Instruments Inc., and STMicroelectronics. Major players are focusing on new product development, mergers & acquisitions and strengthening distribution network to gain leading position in the market. _______________________________________________________________________
