Taipei, Monday, October 20, 2014 16:45 (GMT+8)
partly cloudy
Taipei
31°C
Digitimes Research: Revenues of top-3 Taiwan foundry houses to leap 13% on quarter in 3Q14
Nobunaga Chai, DIGITIMES Research, Taipei [Wednesday 20 August 2014]

Combined revenues of the top-three Taiwan-based foundry houses are expected to top US$8.47 billion in the third quarter of 2014, increasing 13.4% from the previous quarter, according to Digitimes Research.

Optimizing a rebound in orders from chip suppliers for telecom, computer and consumer electronics devices, the top-three foundry houses managed to buck the seasonal trends in the second quarter and ramped up their combined sales by 22% sequentially to US$7.47 billion in the second quarter.

In addition to replenishing their inventories, chip vendors including Qualcomm, Broadcom and MediaTek have also started taking pull-in orders for 4G LTE chips in preparation for an anticipated sales boom for 4G smartphones in the second half of 2014, driving up demand for 28nm production capacity at Taiwan Semiconductor Manufacturing Company (TSMC) and United Microelectronics Corporation (UMC).

Due to strong demand from the mobile device sector, TSMC has not only continued to expand its 28nm capacity but has also ushered its 20nm process into volume production in the second quarter of 2014. Meanwhile, UMC has also begun its 28nm PolySiON process in the second quarter, contributing 1% to its total revenues in the quarter.

Digitimes Research believes that the ratio of revenues generated by the advanced 28nm and below processes to total revenues of the top-three foundry houses will leap significantly in the third quarter of 2014 as compared to the previous quarter. ASPs will also pick up in the third quarter due to improvements in product mixes.

Content from this blog post was provided by the Digitimes Research Tracking team, which focuses on shipment data and market trends in the global mobile device supply chain. Digitimes Research provides quarterly tracking services for market sectors such as Global Tablet, China Smartphone, China Smartphone AP, China Touch Panel, Taiwan ICT and Taiwan FPD. Click here for more information about Digitimes Research Tracking services.

Trends and forecasts for the China FPD industry, 2014-2017

CHINA FPD | Oct 6, 12:29

With China being the world's IT production center and a country with some of the strongest consumer demand, along with benefits on custom tax, funding, loans, and subsidies provided by the government, China's FPD industry continues to show strong growth. Local...

Taiwan servers and the global server market, 2014

RESEARCH EXTRAS | Oct 3, 12:19

Taiwan makers have successfully entered the supply chain of the Internet data center (IDC) industry and may contribute over 90% of the global server shipments in 2014. Combined revenues from related product lines such as motherboards, back-end assembly, storage...

Taiwan LCD monitors – 2Q 2014

TAIWAN FPD | Aug 25, 14:48

Taiwan's monitor shipments grew 10% in the second quarter compared to a low first-quarter base. With panel makers reducing their supply of monitor applications and monitor vendors reluctant to increase their shipments, Taiwan's makers will only see a single-digit...

China smartphone market and industry – 2Q 2014

CHINA SMARTPHONE | Aug 12, 17:41

A delay in the launch schedule for low-cost 4G smartphones resulted in a mere 4.8% increase in second quarter shipments in the China market. However, with telecom operators planning on increasing their subsidies in the second half of the year, demand will be...

Taiwan small- to mid-size LCD panels – 2Q 2014

TAIWAN FPD | Aug 6, 21:18

Taiwan makers' small- to medium-size panel shipments reached 351.4 million units in the second quarter of 2014, up 16.8% sequentially but down 2.8% on year.

ADVANTEST CORPORATION
The transition to 4k TV - UHD TV market forecast, 2014-2017
DIGITIMES Translation Services
  • 2014 global high brightness LED market, trends and shipment forecast

    For the global LED lighting market, the market size will reach US$25.82 billion in 2014 or a market penetration rate of 23.4%. This is attributable to exponential shipment growth for light bulbs, tubes, and directional lamps.

  • Greater China touch panel shipment forecast through 2015

    This Special Report provides forecasts through 2015 for Greater China touch panel shipments with breakdowns based on technology (glass, film, resistive), application (smartphone, NB and tablet) and by firm.

  • 2014 global tablet demand forecast

    This report analyzes the main players, their strategies and shipments forecasts for 2014, as well as other factors contributing to either growth or decline in various segments within the tablet market, with a particular focus on Apple, Google, Samsung, and Microsoft, along with whitebox vendors.