06 Jan 2021 -

Semiconductor prices predicted to rise

The prices of semiconductors are expected to rise due to shortages as demand outstrips supply. This has already caused certain companies to inform their customers about the increase in prices, claims Korean technology observers, TheElec.

“The world’s largest contract chip maker, TSMC, recently reversed its price cut policy for its major customers, due to the higher demands. Furthermore, this is also reflected in the actions of other foundry based firms like GlobalFounderies, which reportedly is operating all of its fabs at near 100 percent capacity. The South Korean tech giant, Samsung Electronics, is apparently also in a similar position at the moment,” they report.

Other chipmakers in Taiwan, including UMC and VIS, have also increased chip production prices, and in the case of DB HiTek from South Korea, prices have hiked as high as 20 percent despite their fabs running at 100 percent capacity. Thus, the shortages of supply in the market are expected to cause a rise in memory and semiconductor systems prices. Market research firm TrendForce expects solid-state drive (SSD) controller chip price to increase by up to 20%.

To avoid electronics supply-chain disruptions, you may also wish to consult an expert in electronics component supply. With more than 27 years of supply-chain expertise, Astute Electronics is ideally placed to work with you on your daily component requirements.

Either through the hundreds of manufacturers we purchase directly from, or the international network of component supply-partners offering full product traceability, Astute Safe-Supply, run by sourcing experts and offers a deeper insight into the global components markets.

With real-time access to the latest listings and prices cultivated through several decades of close supplier partnerships, we are able to spot price disparities and leverage product price variances to deliver cost-effective solutions to customers, whilst ensuring a quality, risk-free supply.

For more help with looking at supply chain options, contact Astute Electronics here

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