With the persisting pandemic driving the stay-at-home economy, notebook makers saw strong shipments in December 2020, with the likelihood that order momentum will last through second-half 2021. Strong demand and rising production costs amid components shortages are prompting ODMs to consider raising notebook manufacturing prices. UMC, which is also raising prices for its foundry services, has seen extra pressure on supply of its 8-inch wafer capacity after a recent power outage at its fabs.
Notebook demand still encouraging: Taiwan-based notebook ODMs are expected to enjoy a particularly strong first quarter of 2021 as they continue to see strong demand from clients, with order momentum set to last through the second half of the year, according to industry sources.
Notebook ODMs mull price hikes: Notebook ODMs are considering hiking their quotes to reflect rising costs of components, transportation and other expenses, according to market sources.
UMC 8-inch fab capacity may tighten further: A recent power outage at UMC's 8-inch wafer fabs may exert pressure on its already-tight supply of 8-inch wafer capacity, according to industry sources.