Supply chain
Highlights of the day: LED chipmakers raising quotes

As shortages of components continue to haunt the semiconductor industry, LED chipmakers are now looking to raise their product quotes, which will drive downstream LED lighting product vendors to also increase their prices to reflect the costs. Meanwhile, Taiwanese IC design houses have seen their supply being seriously constrained by foundries' insufficient capacity, while backend houses extending their delivery time will also have some effect. Server shipments, however, are expected to enjoy double-digit on-year increases in 2021 thanks to robust demand for cloud computing services.

LED chipmakers, downstream vendors raising prices: LED chipmakers in Taiwan and China have seen their delivery lead times extend, and have raised quotes for some of their products particularly non-blue light LED chips, which in turn has also driven downstream LED lamp vendors or illumination solutions providers to hike sales prices to reflect increased materials costs, according to industry sources.

Taiwan IC design houses see supply constrained: Taiwan-based IC design houses have seen their supply constrained by tight foundry capacity, as well as longer delivery times at backend houses, according to industry sources.

Taiwan server makers eyeing double-digit increases for 2021 shipments: Taiwan-based server makers including Quanta Computer, Inventec, Wiwynn, Mitac Computing Technology and Foxconn Technology are optimistic about their business prospects this year with expectations that their 2021 cloud server shipments will see double-digit on-year increases, according to industry sources.

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