Memory FAQs

Industry News
CST News
Member Area
Tester Brochure
Demo Library
Tester FAQs

biology medicine news product technology definition

Tuesday, March 20, 2018
Memory Industry News
Email ArticlePrinter Format PreviousNext

Memory supply will be tight into 2018

Friday, November 03, 2017

The supply of some IC parts and components, including wafers, passive components, and DRAM, MOSFET and NOR flash chips, will remain tight in 2018 due to the absence of capacity ramps by major suppliers, according to industry sources.

While demand for these rather mature IC parts and components has been strong since the beginning of 2017, the proliferation of IoT/AR/VR applications, cloud services, drone devices, and smart voice assistant products has worsened the shortages, said the sources.

Besides, an acceleration of the development of 5G applications will also keep demand for mature IC parts growing in 2018, making the short supply a constant, indicated the sources.

Among the major items, the supply of DRAM chips may increase in 2018 through the introduction of new process nodes. But suppliers of other products are likely to increase their output mainly through improvements in manufacturing processes and yield rates rather than expand production facilities for capacity ramps, said the sources.

In addition to huge investment amounts required for new production facilities, it is also difficult for component suppliers to pass the increased production costs on to clients, thwarting makers' willingness to commmit on capacity ramps, added the sources.

For example, major Taiwan-based MOSFET chip suppliers, including Advanced Power Electronics, Sinopower Semiconductor, and Niko Semiconductor, have been hiking their quotes slowly since the beginning of 2017 when the supply began to tight up, said the sources.

Sinopower and Niko began to see their earnings improve significantly till September when they reported an EPS of NT$0.63 and NT$0.35, respectively, for the month, up 53% and 775% from a year earlier.

With the prospects that the shortages of MOSFET chips are likely to continue to widen in 2018, quotes for MOSFET parts, particularly those for high-end and automobile applications, will hike further in the coming year, noted the sources.

By: DocMemory
Copyright 2017 CST, Inc. All Rights Reserved

Email ArticlePrinter Format PreviousNext
Latest Industry News
Server DRAM prices continue to rise due to high demand in China3/20/2018
Special foundry customized to niche process3/20/2018
China is certain that it can meet its own semiconductor production needs3/20/2018
5G and AI could lead semi industry to $500 billion3/20/2018
Notebook shipment recovers some3/19/2018
Micron's CEO Sanjay Mehrotra cites high barriers to entry for Chinese suppliers3/19/2018
ChipMOS found business on niche-market DRAM and NOR flash packaging3/19/2018
Broadcom: We're open to looking at anything that helps3/19/2018
ChipMOS profit tumbled on order cuts by Micron3/16/2018
Semi market forecast revised up 15%3/16/2018

CST Inc. Memory Tester DDR Tester
Copyright © 1994 - 2018 CST, Inc. All Rights Reserved