Supply chain
Korea memory-IC industry output value rises 5.5% in 3Q19, says Digitimes Research
Chiawen Chang, DIGITIMES Research, Taipei

The production value of South Korea's memory chip industry increased 5.5% sequentially to KRW19.8 trillion (US$17.06 billion) in the third quarter of 2019, according to Digitimes Research.

Samsung saw its memory revenues register a sequential increase for the second consecutive quarter in the third quarter, while SK Hynix' stopped falling. The pair also had their operating margins fall at a slower pace in the third quarter than previous quarters.

Samsung and SK Hynix have both managed to lower their inventory to appropriate levels indicating the global memory market is poised for a rebound in the first half of 2020, Digitimes Research indicated, Digitimes Research believes.

Memory demand for 5G-capable smartphones and other related devices is set to boom next year. Samsung and SK Hynix are both expected to enjoy a rebound in their chip ASPs starting the first half of 2020.

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