Revenue from flash memory cards will jump from just more than $1.6 billion in 2000 to $2.6 billion in 2005, according to a new report from market researcher Cahners In-Stat Group. This will occur despite a 30 percent annual reduction in the price per megabyte. Cahners asserts that the boost in revenue will instead be due to the proliferation of the number and types of devices that use flash memory.
Flash memory cards were originally created as extra storage for digital cameras, handheld computers, mobile phones and portable digital-audio players. But they can now be found in inkjet printers and car stereos, according to Cahners. The research firm also expects consumers to buy more higher-capacity cards, leading to a tenfold leap in the total number of megabytes shipped between 2001 and 2005.