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Foundry prices set to jump in 2023 by 8%+

Aug 25, 2022
semiconductor chip

GlobalFoundries and TSMC are among the foundries who have said they will increase prices next year by as much as 8%.

According to supply chain insiders, GF has just secured a new order from Qualcomm worth $4.2 billion, and by 2028, GF will receive a total order of $7.4 billion from Qualcomm.

In addition, the source also revealed that TSMC intends to maintain its planned price increase of 6-8% from next year. TSMC has previously determined that prices for most of its manufacturing processes will begin in January next year.

TSMC’s offer in 2022 has already been raised by 10-20%. One of TSMC’s U.S. customers has agreed to accept a 7% price hike for the foundry next year, with the rising costs passed on to downstream customers.

The source also said that Samsung Electronics is considering a 20% increase in chip prices because Samsung’s foundry has significantly raised its 5nm and 4nm manufacturing process yields.

Earlier this year in May, the news price increases came from four of the world’s top ten wafer foundry manufacturers, namely TSMC, Samsung, UMC and SMIC.

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

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