Prices of memory chips used in consumer electronics are expected to remain steady next quarter, as Huawei Technologies Co (華為) snatches up DRAM chips used in 5G equipment and networking devices to avoid supply disruptions amid US-China trade tensions, TrendForce Corp (集邦科技) said yesterday.
The Taipei-based researcher expects the prices of DRAM chips used in consumer electronics — such as TVs, set-top boxes and networking devices — to be flat or down 5 percent sequentially next quarter, compared with its projection from two months ago of prices dipping 10 to 15 percent.
Huawei, which fears that US government restrictions on its chip access could be extended to DRAM chips, has increased procurement of components needed for 5G deployment, while US-based chipmaker Micron Technology Inc last week said that it could not ship memory chips to Huawei after Sept. 14 due to Washington’s new rules, TrendForce said.
Even so, as consumer DRAM chips only account for 8 percent of the overall DRAM market, an upward price adjustment for those chips is not expected to have a significant effect on the overall market, which remains under downward pressure until data center operators and enterprise server investors begin to replenish their DRAM inventories, TrendForce said.
“The recent price rebound on the spot market is likely to be brief,” TrendForce said, adding that inventory levels in the supply chain are still one of the crucial factors in deciding overall DRAM prices.
The researcher forecast that the prices of DRAM chips used in servers would only see a sequential decline of 10 to 15 percent this quarter and 10 to 15 percent next quarter.
Mobile DRAM chip prices are forecast to drop by 3 to 8 percent sequentially this quarter and stay flat or decline 5 percent next quarter, it said.
PROTECTIONISM: China hopes to help domestic chipmakers gain more market share while preparing local tech companies for the possibility of more US sanctions Beijing is stepping up pressure on Chinese companies to buy locally produced artificial intelligence (AI) chips instead of Nvidia Corp products, part of the nation’s effort to expand its semiconductor industry and counter US sanctions. Chinese regulators have been discouraging companies from purchasing Nvidia’s H20 chips, which are used to develop and run AI models, sources familiar with the matter said. The policy has taken the form of guidance rather than an outright ban, as Beijing wants to avoid handicapping its own AI start-ups and escalating tensions with the US, said the sources, who asked not to be identified because the
Taipei is today suspending its US$2.5 trillion stock market as Super Typhoon Krathon approaches Taiwan with strong winds and heavy rain. The nation is not conducting securities, currency or fixed-income trading, statements from its stock and currency exchanges said. Yesterday, schools and offices were closed in several cities and counties in southern and eastern Taiwan, including in the key industrial port city of Kaohsiung. Taiwan, which started canceling flights, ship sailings and some train services earlier this week, has wind and rain advisories in place for much of the island. It regularly experiences typhoons, and in July shut offices and schools as
Her white-gloved, waistcoated uniform impeccable, 22-year-old Hazuki Okuno boards a bullet train replica to rehearse the strict protocols behind the smooth operation of a Japanese institution turning 60 Tuesday. High-speed Shinkansen trains began running between Tokyo and Osaka on Oct. 1, 1964, heralding a new era for rail travel as Japan grew into an economic superpower after World War II. The service remains integral to the nation’s economy and way of life — so keeping it dazzlingly clean, punctual and accident-free is a serious job. At a 10-story, state-of-the-art staff training center, Okuno shouted from the window and signaled to imaginary colleagues, keeping
Arm Holdings PLC approached Intel Corp about potentially buying the ailing chipmaker’s product division, only to be told that the business is not for sale, according to a source with direct knowledge of the matter. In the high-level inquiry, Arm did not express interest in Intel’s manufacturing operations, said the source, who asked not to be identified because the discussions were private. Intel has two main units: A product group that sells chips for personal computers, servers and networking equipment, and another that operates its factories. Representatives for Arm and Intel declined to comment. Intel, once the world’s largest chipmaker, has become the
RSS