NOR Flash Memory Market For The Automotive Industry Market Size (2024 - 2029)

NOR Flash Memory Market Analysis

The NOR Flash Memory Market For The Automotive Industry is expected to grow from USD 0.91 billion in 2024 to USD 1.64 billion by 2029, at a CAGR of 12.52% during the forecast period (2024-2029).

The NOR flash memory sectors are witnessing a rapid growth rate due to the demand growth in multiple applications, from infotainment to instrument clusters.

• NOR flash is a memory and one of the types of non-volatile storage technologies. It is used for applications where individual bytes of data need to be written and read. The products are built to offer lower memory densities compared to NAND and enhance the power consumption in end-user devices.
• Conventional automotive technology development usually emphasizes speed, safety, comfort, and energy-saving ability; however, the current focus has gradually shifted to developing a more innovative model capable of using new energy. As a mobile device on the road, the car used to be a separate individual without any interaction with any external device.
• However, with the rapid development of mobile networks, this barrier has broken through, and the vehicle is no longer simply an isolated device on the road. The remote control of a car, or even the communication between vehicles or cars and devices (such as traffic signals,) is in the foreseeable future. The story of the Smart Car can be traced back to the early 90s and the Swiss watch company Swatch, where inventor Nicolas Hayek was interested in the idea of developing an efficient and urbanized vehicle. He initially brought the idea to Volkswagen.
• Thus, many EV manufacturers, such as BYD, Tesla, Nio, Xpeng, and Huawei, have been investing in smart car technologies, seeing them as major selling points for their EVs. Recently, in January 2024, Chinese electric vehicle (EV) giant BYD launched its Xuanji smart car system, seeking to catch up with rivals with functions such as automated parking and voice recognition.
• Research and development costs are expected to increase with the growing end-user requirements for NOR flash memory. Vendors like Micron have invested USD 15 billion in constructing a new fabrication facility for memory manufacturing in Boise, Idaho.
• In addition, the company is also planning to co-locate the new manufacturing fab with Micron’s R&D center at the company’s headquarters to enhance the technology deployment and improve time to market with operational efficiency to cater to industries like automotive, data centers, and memory applications in artificial intelligence and 5G. This indicates the costly research, development, and fabrication setup and drives the challenges.
• Governments worldwide have been printing money and adopting quantitative easing measures to stimulate economies. This has worked over the past few years, but with looming inflation concerns, all those stimulus measures in the past might not work this time. The chip industry is in a super cycle, a period of prolonged expansion driven by robust demand.
• At the same time, COVID-19 disruptions have brought wide-ranging rises in the cost of everything from logistics to raw materials. The sudden outbreak of the Russian invasion of Ukraine has sparked huge fluctuations in energy and materials markets, further adding to inflationary pressure. For instance, Macronix International Co., Ltd. NOR revenue in Q4 2023 declined by 29% compared to the same period in the previous year(2022) due to ongoing geopolitical tensions, war, and increased inflation.

NOR Flash Memory Industry Segmentation

The market is defined by the revenue accrued by products offered by the vendors. For the scope of the study, the report includes segmentation by density, application, and geography. The study also covers the activities of major players in the market along with their current strategies and recent developments.

The NOR flash memory market for the automotive industry is segmented by density (low (less than 32Mb), medium (32Mb to 128Mb), high (> 128Mb)), by application (ADAS, infotainment, instrument cluster, and other), and by geography (Americas, Europe, Japan, China, Latin America, Middle East & Africa). The report offers market forecasts and size in value (USD) for all the above segments.