Taipei, Friday, May 22, 2015 19:44 (GMT+8)
mostly cloudy
Taipei
25°C
Digitimes Insight: Limited wafer availability good for DRAM industry
Nobunaga Chai, DIGITIMES Research, Taipei [Monday 21 March 2011]

With major silicon wafer plants remaining closed following the recent earthquake and tsunami that struck Japan, there is growing concern in the memory industry whether chip companies are preparing for any possible disruption to production.

Potential wafer supply disruptions may actually push the memory industry, especially the DRAM sector, to reach a balance between supply and demand. There has been a substantial rise in DRAM supplies since the second half of 2010.

Digitimes Research previously forecast that the DRAM industry would be dogged by oversupply as chipmakers ramp up output through conversions to new technology nodes. Worldwide DRAM supply would exceed demand by 28% in 2011, according to estimates made in January 2011.

Major DRAM producers plan to grow their capacity for 2011 between 40% and 70%, with any of their output growth expected to outpace the rise in overall demand.

As for NAND flash, a short supply of silicon wafers would just soften chipmakers' efforts to increase their capacity in 2011. Major NAND-chip producers including Samsung Electronics, Toshiba and Hynix are all gearing up to enter the 20nm-class technology era in 2011. Samsung, Toshiba and Micron Technology are also looking to implement their new fab plans.

Despite concerns about wafer supply disruptions caused by the earthquake, the NAND flash industry is still expected to see its overall bit growth reach 78% in 2011 to 9.33 billion GB.

Shin-Etsu Handotai's (SEH) main silicon wafer plant in Fukushima Prefecture remains closed with no time-frame for when it will re-open, according to parent company Shin-Etsu's latest statement about SEH's business status following the earthquake. Monthly capacity at the facility accounts for more than 60% of SEH's overall production capacity.

Sumco has been less affected due to its main factory sites being located away from quake-hit areas. Production at its damaged plant in Yamagata Prefecture has been shifted to other plants in the Kyushu region, according to Sumco's most recent status update.

Digitimes Research: Major DRAM firms' supply growth estimate, 2011

Source: Digitimes Research, March 2011

Topics: Page 2

Taiwan server shipment forecast and industry analysis, 2015

RESEARCH EXTRAS | Apr 10, 15:57

The server market did not perform well in 2014 though rising demand from Internet data centers (IDCs) and China brands helped global shipments (measured by motherboards) grow 7.1% to 10.4 million. Using this as the base for growth, in 2015 the market is expected...

How China is shaping the LTE/TD-LTE market in 2015

CHINA SMARTPHONE | Apr 9, 15:42

Digitimes Research estimates that the global LTE market doubled in size to 445 million users in 2014 and we further forecast that annual growth in the number of LTE users will remain above 70% between 2015-2016, with the overall market reaching 1.466 billion...

Taiwan LCD TVs – 1Q 2015

TAIWAN DISPLAY SYSTEM | May 22, 15:51

Taiwan's LCD TV makers saw strong seasonal impacts in the first quarter of 2015. Shipments to North America saw a particularly sharp decline as a result of reduced procurement from Mexico and major client Toshiba quitting the North America market.

Taiwan handsets – 1Q 2015

TAIWAN MOBILE DEVICE | May 15, 15:58

Most of Taiwan's handset makers felt strong seasonal effects in the first quarter. Foxconn suffered particularly as a result of drastic drops in orders from Sony Mobile and Microsoft Mobile.

China smartphone market and industry – 1Q 2015

CHINA SMARTPHONE | May 13, 10:56

According to Digitimes Research's survey of the Mainland China smartphone supply chain, as well as other relative vendors, increased demand for Apple's new device models, Mainland China's high-end smartphone models experienced lackluster sales in the first quarter...

Innodisk at Computex Taipei 2015
Wireless broadband developments in Southeast Asia markets
The transition to 4k TV - UHD TV market forecast, 2014-2017
  • Wireless broadband developments in Southeast Asia markets

    As of 2013, the 10 ASEAN nations had a total of over 700 million mobile subscriptions, with the CAGR from 2003-2013 reaching 24%. This Digitimes Research Special Report analyzes the various mobile broadband markets in ASEAN and looks at the respective trends in 4G LTE development for those markets.

  • 2015 global tablet demand forecast

    This Digitimes Research Special Report provides a 2015 forecast for the global tablet market and analyzes the strategies of key market players such as Google, Apple, Intel, and Microsoft.

  • 2015 China smartphone panel trend forecast

    This Digitimes Research Special Report analyzes the strategies of key China-based major panel makers BOE, Tianma and IVO for attacking the different market segments through technology and pricing, and their relationship to local vendors Huawei, Lenovo, ZTE, Xiaomi and Coolpad.