Taiwan's IC substrate suppliers will continue to enjoy robust shipments of BT-based FCCSP substrates for handset SoCs throughout first-quarter 2021, but may see off-season impacts in the second quarter, according to industry sources.
Leading mobile chipmakers Qualcomm and MediaTek have recently released their latest 5G handset SoCs - Snapdragon 870 and Dimensity 1200/1100, respectively - to further strengthen their product lines. BT substrates required for processing the chips are all shipped from Taiwan suppliers, including Kinsus Interconnect Technology and Unimicron Technology serving Qualcomm and MediaTek, respectively, the sources said.
Both chipmakers have zeroed in on non-Apple handset vendors as main clients for their new 5G handset SoC offerings, and vendors, particularly those in China, are all moving to stock up chips inventories in the first quarter for their new handsets set for launch later in first-half of the year, the sources said.
Android handset vendors are expected to enforce inventory adjustments in the second quarter after completing chips shipment pull-ins in the first quarter, with shipments of BT substrates to chipmakers likely to slow down for a short period as a result, the sources continued.
IC substrate makers have earlier raised their quotes to reflect increased costs in metals and other upstream materials, with the hiked prices to stay valid for new orders in the next few months, the sources said.
Article translated by Willis Ke
