Bits + chips
MOSFET shortage easing
Cage Chao, Taipei; Jessie Shen, DIGITIMES
Friday 18 May 2018

The supply of MOSFET chips has become sufficient in the second quarter as international IDMs have moved to scale up their output for entry-level and mid-range devices, according to industry sources in Taiwan.

The supply of some high-end MOSFET chips for automotive remains tight, said the sources. Nevertheless, IDMs have now managed to fulfill more of their customers' orders, the sources indicated.

IDM vendors have seen clear visibility of orders for their MOSFET chips through the end of 2018, the sources noted. The IDMs intend to give shipment priority to their automotive electronics clients, as well as those customers who have struck mid- and long-term supply contracts with them, the sources added.

IDMs have also allocated more of their available capacities for mass-market applications to fulfill some of the orders placed by other customers that are queuing up, the sources continued. Nevertheless, IDMs' less focus on low-margin MOSFET offerings remains a trend, the sources said.

Meanwhile, Taiwan-based MOSFET makers have been identified as a second-source alternative to IDMs. While the global output for entry-level and mid-range MOSFETs is unlikely to expand substantially, downstream device makers are looking for second-source suppliers to satisfy their demand, the sources indicated.

In addition, Taiwan-based MOSFET foundry and backend specialists are striving for orders from international IDMs, which put increased focus on high-margin offerings such as those for automotive electronics applications, according to industry sources.

Foundries including Episil Technologies and Mosel Vitelic, and GEM Services, a backend house dedicated to MOSFET chips and power modules, have already obtained orders from IDM vendors with clear order visibility throughout 2018, said the sources.

In particular, GEM Services has about 50% of its revenues generated from orders placed by its IDM customers. The backend firm is also looking to expand production capacity at its China plants to better fulfill increasing orders from the major MOSFET suppliers, the sources indicated.

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