Shares of Taiwan’s major chipmakers surged yesterday on expectations that a powerful quake that rocked Japan on Friday could cause a supply constraint as a number of chipmakers and their raw material providers suspended production for damage checks.
Concern over a supply shortage lifted the price of mainstream DRAM, or DDR3 2Gb, by 6.75 percent to US$1.95 per unit as of 6pm yesterday, according to Taipei-based price tracker TrendForce Corp (集邦科技).
“We expect PC makers to become more aggressive in increasing their safe inventory to ensure sufficient supply,” a TrendForce public relations officer said by telephone yesterday.
“Prices have started rising in China. We have also found that Chinese companies are turning to Taiwanese firms for chip supply [to boost their inventories],” the official said.
The share price of the nation’s top DRAM maker, Nanya Technology Corp (南亞科技), rose 2.58 percent to NT15.90. Powerchip Technology Corp (力晶科技) and ProMOS Technologies Inc (茂德科技), which primarily sell their products on the spot market, also saw their share prices jump 6.97 percent and 4.42 percent to NT$6.45 and NT$1.89 respectively.
The TAIEX dropped 0.56 percent yesterday.
TrendForce said chip companies — including South Korea’s Samsung Electronics Co and Hynix Semiconductor Inc and Taiwan’s Powerchip and ProMOS — had stopped providing price updates as they were assessing the impact of Japan’s earthquake on supply and demand.
“We believe there will only be a short-term impact because most Japanese chipmakers’ facilities are located far from the epicenter and Japan’s transportation system should resume soon, which would help chip exports,” TrendForce said.
Japanese companies accounted for 13.6 percent of global DRAM supply and 35.7 percent of NAND flash supply in the fourth quarter of last year.
The spot price for NAND flash, a type of memory chip widely used in consumer electronics such as mobile phones, spiked 20.48 percent to US$6.06 per unit yesterday, as production at one of Toshiba’s NAND flash plants may have been severely affected by the quake, TrendForce said on its Web site.
STEADY: Prices are to rebound following inventory rebuilding demand, TrendForce said, with Samsung Electronics Co further trimming capacity as it slashes DDR4 lines The contract prices of DRAM chips are to rise by as much as 18 percent sequentially this quarter — the first price upticks in about eight quarters — driven mainly by inventory rebuilding demand for DRAM chips used in mobile devices and PCs, TrendForce Corp (集邦科技) projected yesterday. The price rebound is led by a quarterly increase of mobile DRAM chips, which are to climb between 13 percent and 18 percent quarter-on-quarter this quarter, which has not been seen since the fourth quarter of 2021, the Taipei-based market researcher predicted. Likewise, the price of mainstream PC DDR4 DRAM is expected to bounce
SOLID FOUNDATION: Given its decades of expertise in megatronics, manufacturing and robotics, Japan has the wherewithal to create its own AI, Jensen Huang said Nvidia Corp plans to help build an artificial intelligence (AI) tech-related ecosystem in Japan to meet demand in a country eager to gain an edge in this emerging technology. The US company will seek to partner with Japanese research organizations, companies and start-ups to build factories for AI, Nvidia CEO Jensen Huang (黃仁勳) said yesterday during opening remarks in a meeting with Japanese Minister of Economy, Trade and Industry Yasutoshi Nishimura. The company is to set up an AI research laboratory, and invest in local start-ups and educate the public on using AI, Huang said. Huang earlier this week met with Japanese Prime
A Hong Kong court postponed a court hearing on troubled Chinese property developer Evergrande Group’s (恆大集團) winding-up petition scheduled for yesterday until Jan. 29. Evergrande is trying to win support from its creditors for a plan to restructure more than US$300 billion in debt to stave off liquidation. The company’s lawyer told the court it was requesting an adjournment to “refine” its new debt restructuring plan. The Hong Kong High Court has postponed the hearing over Evergrande’s potential liquidation several times. Judge Linda Chan (陳靜芬) had said in October that yesterday’s hearing would be the last before a decision is handed down. Chan
Huawei Technologies Co (華為) is among a field of “very formidable” competitors to Nvidia Corp in the race to produce the best artificial intelligence (AI) chips, Nvidia chief executive officer Jensen Huang (黃仁勳) said yesterday. Huawei, Intel Corp and an expanding group of semiconductor start-ups pose a stiff challenge to Nvidia’s dominant position in the market for AI accelerators, Huang told reporters in Singapore. Shenzhen-based Huawei has grown into China’s chip tech champion and returned to the spotlight this year with an advanced made-in-China smartphone processor. “We have a lot of competitors, in China and outside China,” Huang said. “Most of our competitors