Basic knowledge of electronic components purchasing -Ameya360 electronic components purchasing website

Trade news

Ameya360:STMicroelectronics Posts 26.4% Revenue Growth for FY2022, Earmarks $4B for 2023 CAPEX

　　STMicroelectronics has reported fourth quarter net revenues of $4.42 billion, gross margin of 47.5%, operating margin of 29.1%, and net income of $1.25 billion or $1.32 diluted earnings per share.　　“In Q4, ST delivered revenues and gross margin above the mid-point of the guidance,” said Jean-Marc Chery, STMicroelectronics President & CEO. “FY22 revenues increased by 26.4% to $16.13 billion, driven by strong demand in automotive and industrial, and our engaged customer programs. Operating margin increased to 27.5% from 19% in FY21 and net income almost doubled to $3.96 billion. We invested $3.52 billion in CAPEX while delivering free cash flow of $1.59 billion. Our first quarter business outlook, at the mid-point, is for net revenues of $4.20 billion, increasing year-over-year by 18.5% and decreasing sequentially by 5.1%; gross margin is expected to be about 48%.”　　For 2023, ST plans to invest about $4 billion in CAPEX, mainly to increase its 300mm wafer fabs and silicon carbide (SiC) manufacturing capacity including our substrate initiative. “Based on our strong customer demand and increased manufacturing capacity, we will drive the Company based on a plan for FY23 revenues in the range of $16.8 billion to $17.8 billion,” added Chery.　　Net revenues totaled $4.42 billion, representing a year-over-year increase of 24.4%. On a year-over-year basis, ST recorded higher net sales in all product groups and sub-groups except the Analog and MEMS sub-groups. Year-over-year net sales to OEMs and Distribution increased by 26.8% and 19.5%, respectively. On a sequential basis, net revenues increased by 2.4%, 60 basis points above the mid-point of the company’s guidance. ADG and MDG reported increases in net revenues on a sequential basis, while AMS decreased.　　Meanwhile, gross profit totaled $2.1 billion, representing a year-over-year increase of 30.7%. Gross margin of 47.5%, 20 basis points above the mid-point of the Company’s guidance, increased 230 basis points year-over-year, principally due to favorable pricing, improved product mix, positive currency effects, net of hedging, partially offset by the inflation of manufacturing input costs.　　ST’s operating income increased by 45.4% to $1.29 billion, compared to $885 million in the year-ago quarter. Operating margin increased by 420 basis points on a year-over-year basis to 29.1% of net revenues, compared to 24.9% in the 2021 fourth quarter.　　By product group, compared with the year-ago quarter, revenue increased in Automotive and in Power Discrete under the Automotive and Discrete Group (ADG). Operating profit increased by 117.9% to $470.2 million, while operating margin was 27.7% compared to 17.6%.　　For the Analog, MEMS and Sensors Group (AMS), revenue increased in Imaging and decreased in Analog and MEMS. Operating profit increased by 2.4% to $345.6 million, while operating margin was 25.8% compared to 27%.　　Finally, the Microcontrollers and Digital ICs Group’s (MDG) operating profit increased by 56.6% to $495.3 million, while operating margin was 35.8% compared to 29.5%. Revenue was driven by increases in Microcontrollers and in RF Communications sectors.　　Net income increased to $1.25 billion, including a one-time non-cash income tax benefit of $141 million, compared to $750 million in the same period last year.　　Outlook　　ST expects net revenues to be around $4.2 billion for the first quarter of 2023 (which will close on April 1, 2023), down by 5.1% sequentially, and gross margin of 48%, plus or minus 200 basis points. This outlook is based on an assumed effective currency exchange rate of approximately $1.06 = €1.00 for the 2023 first quarter and includes the impact of existing hedging contracts.

Key word：

ST

Release time：2023-02-07 13:46 reading：1857 Continue reading>>

NAND Flash Manufacturers to Cut <span style='color:red'>Capex</span> by 2% YoY in 2019 Due to Worsening Oversupply

Trade news

NAND Flash Manufacturers to Cut Capex by 2% YoY in 2019 Due to Worsening Oversupply

Experiencing an oversupply over the entire year of 2018, the global NAND Flash market continues to face excess capacity this year as the demand outlook for notebooks, smartphones, servers and other end products remains weak, reports DRAMeXchange, a division of TrendForce. NAND Flash manufacturers have slowed down the capacity expansion by cutting capex in 2019, aiming to moderate the oversupply by limiting the bit output growth.South Korean manufacturers have taken initiatives to cut their NAND Flash capex due to the worsening oversupply in 2018, says DRAMeXchange. Even though the total capex in the whole NAND Flash industry has been cut by nearly 10%, the oversupply has continued. Looking ahead to 2019, U.S.-based manufacturers would also lower their semiconductor capex, and the total capex in the global NAND Flash industry is expected to be $22 billion, about 2% YoY lower than in 2018.Influenced by the adjustments in capacity expansion, 92/96-layer 3D NAND products would only account for about 32% of the industry’s total output by the end of 2019, while the portion of 64/72-layer products remains over 50%, although the major manufacturers have entered the mass production of 92/96-layer 3D NAND since the fourth quarter of 2018. As the manufacturers slow down capacity expansion and migration to advanced process, the bit output growth of NAND Flash is expected to be around 38% in 2019, significantly lower than over 45% in 2018.As for the capacity adjustments of manufacturers, DRAMeXchange notes that Samsung’s NAND Flash bit output growth is expected to be around 35%, considering the following two factors. First, Samsung would continue to reduce its production capacity for 2D NAND. Second, the operating capacity would also decrease compared with the end of 2018, since the 92-layer process requires more space in the fab. The slowdown in bit output growth would have great impacts on the global NAND Flash production, because Samsung's share in the NAND Flash market is about 30%.SK Hynix and Toshiba/Western Digital also have a chance to see smaller bit output growth. The two companies have respectively new M15 fab and Fab 6, but would also be affected by the production reduction plan or capacity transfer to previous-generation process. Therefore, DRAMeXchange has revised the forecast of their annual bit output growth to less than 50% and 35%, down from previous forecast of 50% and 40%, considering the weak demand outlook.Micron's new fab in Singapore will not officially enter mass production until 2020, so the company’s wafer capacity per month in 2019 will remain flat when compared to 4Q18. Intel plans to reach a full load capacity in its Dalian fab, but does not have other capacity expansion plan. The joint bit output of Micron and Intel would grow by nearly 40% in 2019, noticeably lower than 45% in 2018.In terms of the NAND Flash price trends for 2019, the quotes for various product lines would witness apparently steeper drop than DRAMeXchange’s previous forecasts, indicating the excess inventories faced by manufacturers. DRAMeXchange expects a quarterly decline of 20% in 1Q19, higher than previous forecast of 10%, and a further decline of nearly 15% QoQ in 2Q19. For 2H19, the price decline may be slightly moderated considering the coming of peak season, but prices would continue to fall by around 10% each quarter. It remains to be seen whether manufacturers are able to further limit their bit output growth. In sum, the average NAND Flash price would decrease by nearly a half in 2019, according to the calculation of DRAMeXchange.

Key word：

NAND Flash

Release time：2019-01-11 00:00 reading：1338 Continue reading>>

Samsung’s Big Semi <span style='color:red'>Capex</span> Spending Keeps Pressure on Competition

Trade news

Samsung’s Big Semi Capex Spending Keeps Pressure on Competition

Samsung’s two-year capex spending of $46.8 billion nearly matches the combined two-year capex spending of $48.4 set by Intel and TSMC.IC Insights revised its outlook for total semiconductor industry capital spending and presented its forecast of semiconductor capex spending for individual companies in its November Update to The McClean Report 2018, which was released earlier this month.Samsung is expected to have the largest capex budget of any IC supplier again in 2018. After spending $24.2 billion for semiconductor capex in 2017, IC Insights forecasts that Samsung’s spending will edge slightly downward, but remain at a very strong level of $22.6 billion in 2018 (Figure 1). If it comes in at this amount, Samsung’s two-year semiconductor capital spending will be an astounding $46.8 billion.Figure 1As seen in Figure 1, Samsung’s semiconductor capital outlays from 2010, the first year the company spent more than $10 billion in semiconductor capex, through 2016 averaged $12.0 billion per year. However, after spending $11.3 billion in 2016, the company more than doubled its 2017 capex budget. The fact that Samsung’s continued its strong capex spending in 2018 is just as impressive.IC Insights believes that Samsung’s massive spending outlays in 2017 and 2018 will have repercussions far into the future. One effect that has already begun is a period of overcapacity in the 3D NAND flash market. This overcapacity situation is due not only to Samsung’s huge spending for 3D NAND flash, but also from spending by competitors (e.g., SK Hynix, Micron, Toshiba, Intel, etc.) that attempt to keep pace in this market segment.With the DRAM and NAND flash memory markets showing strong growth through the first three quarters of 2018, SK Hynix ramped up its capital spending this year. In 1Q18, SK Hynix said that it intended to increase its capex spending by “at least 30%” this year. In the November Update, IC Insights forecasts that SK Hynix will see a 58% surge in its semi capex spending. The increased spending by SK Hynix this year is focused primarily on bringing new capacity online at two of its large memory fabs—M15, a 3D NAND flash fab in Cheongju, South Korea, and the expansion of its huge DRAM fab in Wuxi, China. The Cheongju fab is being pushed to open before the end of this year. The Wuxi fab is also targeted to open by the end of this year, a few months earlier than its original start date of early 2019.Overall, IC Insights’ now forecasts total semiconductor industry capital spending will climb 15% to $107.1 billion this year, the first time that annual industry capex is expected to top $100.0 billion. Following the industry-wide growth this year, semiconductor capex is expected to decline 12% in 2019 (Figure 2).Figure 2Given that the current softness in the memory market is expected to extend into at least the first half of next year, the combined capital spending by the three largest memory suppliers—Samsung, SK Hynix, and Micron—is forecast to drop from $45.4 billion in 2018 to $37.5 billion in 2019, a decline of 17%.In total, the top five spenders, which are expected to represent 66% of total outlays this year, are forecast to cut their capital spending by 14% in 2019 with the remaining semiconductor industry companies registering a 7% decline.

Key word：

Samsung

Release time：2018-12-03 00:00 reading：2191 Continue reading>>

Trade news

Samsung Still Spending Heavily on Capex

Samsung Electronics said that it would cut its semiconductor capital spending slightly and warned that the memory market is headed for a seasonal slowdown after two years of spectacular growth.Samsung said that it would cut its 2018 semiconductor capex to about 24.9 trillion won (about $22.6 billion), a decline of about 9% from last year’s total of 27.3 trillion won. Factoring in exchange rate fluctuations, in U.S. dollar terms, the 2018 target represents a decline of just 7% from Samsung’s aggressive 2017 spending level, according to Bill McClean, president of market research firm IC Insights.Despite slowing price growth for DRAM and NAND flash memory chips over the past few months, “Samsung is barley taking its foot off the gas pedal for semiconductor capital spending,” said McClean. While third-quarter spending declined about 29% compared to the second quarter, the company plans to spend about $6.2 billion on semiconductor capex in the fourth quarter, an increase of 55% compared to the third quarter.Samsung hasn’t said how much it plans to spend on semiconductor capex in 2019.“Most likely, it will be down, but the question is by how much,” said McClean. “This will depend on the overall market conditions and pricing trends at the time. It is obvious the company is adjusting its spending on a quarterly basis like many of the large semiconductor firms do.”Samsung’s capex announcement came as the company issued its third-quarter financial report, which included a record profit of 17.6 trillion won (about $15.5 billion) — driven largely by memory — on sales of 65.5 trillion won (about $57.5 billion). Samsung also announced that it would cut company-wide capital expenditures by about 27% this year.Samsung’s third-quarter semiconductor sales totaled 24.8 trillion won (about $21.8 billion), up 13% from the second quarter and up 25% from the third quarter of 2017. The company’s semiconductor business reported an operating profit of 13.65 trillion won (about $12 billion).Samsung said that it expects overall earnings across the company to decline in the fourth quarter, due mostly to expected seasonal weakness in the semiconductor market.The share of capital spending for memory devices has nearly doubled from 27% in 2013 to a forecast of 53% this year. (Source: IC Insights)“Looking to 2019, while the memory market may slow down in the first quarter due to seasonal effects, supply and demand dynamics are forecast to stabilize from the second quarter thanks to an increase in overall demand, mainly from server and mobile,” said Samsung in a statement.The company said that it expects earnings to strengthen later in the year as business conditions improve, particularly in the memory market.TrendForce, a market research firm that tracks memory chip pricing, is forecasting that DRAM and NAND prices will both decline in the fourth quarter and for the full year 2019 as demand fails to grow as fast as supply.

Key word：

Samsung,Capex

Release time：2018-11-02 00:00 reading：2195 Continue reading>>

Memory ICs to Account for 53% of Total 2018 Semi <span style='color:red'>Capex</span>

Trade news

Memory ICs to Account for 53% of Total 2018 Semi Capex

IC Insights forecasts total semiconductor capital expenditures will rise to $102.0 billion this year, marking the first time that the industry has spent more than $100 billion on capital expenditures in one year. The $102.0 billion spending level represents a 9% increase over $93.3 billion spent in 2017, which was a 38% surge over 2016.Figure 1 shows that more than half of industry capital spending is forecast for memory production—primarily DRAM and flash memory—including upgrades to existing wafer fab lines and brand new manufacturing facilities. Collectively, memory is forecast to account for 53% of semiconductor capital expenditures this year. The share of capital spending for memory devices has increase substantially in six years, nearly doubling from 27% ($14.7 billion) in 2013 to a forecast of 53% ($54.0 billion) of total industry capex in 2018, which amounts to a 2013-2018 CAGR of 30%.Figure 1Of the major product categories shown, DRAM/SRAM is forecast to show the largest increase in spending, but flash memory is expected to account for the largest share of capex spending this year (Figure 2). Capital spending for the DRAM/SRAM segment is forecast to show a 41% surge in 2018 after a strong 82% increase in 2017. Capital spending for flash memory is forecast to rise 13% in 2018 after a 91% increase in 2017.Figure 2After two years of big increases in capital expenditures, a major question looming is whether high levels of spending will lead to overcapacity and a softening of prices. Historical precedent in the memory market shows that too much spending usually leads to overcapacity and subsequent pricing weakness. With Samsung, SK Hynix, Micron, Intel, Toshiba/Western Digital/SanDisk, and XMC/Yangtze River Storage Technology all planning to significantly ramp up 3D NAND flash capacity over the next couple of years (and new Chinese memory startup companies entering the market), IC Insights believes that the future risk for overshooting 3D NAND flash market demand is high and growing.

Key word：

Memory ICs

Release time：2018-08-30 00:00 reading：1334 Continue reading>>

China’s Semi <span style='color:red'>Capex</span> Forecast to be Larger than Europe and Japan Combined in 2018

Trade news

China’s Semi Capex Forecast to be Larger than Europe and Japan Combined in 2018

Chinese semi firms to spend $11.0 billion in capex this year, up from only $2.2 billion in 2015.IC Insights will release its 200+ page Mid-Year Update to the 2018 McClean Report next month. The Mid-Year Update revises IC Insights’ worldwide economic and IC industry forecasts through 2022 that were originally presented in The 2018 McClean Report issued in January of this year.Figure 1 shows that IC Insights forecasts that China-headquartered companies will spend $11.0 billion in semiconductor industry capex in 2018, which would represent 10.6% of the expected worldwide outlays of $103.5 billion. Not only would this amount be 5x what the Chinese companies spent only three years earlier in 2015, but it would also exceed the combined semiconductor industry capital spending of Japan- and Europe-headquartered companies this year.Since adopting the fab-lite business model, the three major European producers have represented a very small share of total semiconductor industry capital expenditures and are forecast to account for only 4% of global spending in 2018 after representing 8% of worldwide capex in 2005. Although there may be an occasional spike in capital spending from European companies (e.g., the surge in spending from ST and AMS in 2017), IC Insights believes that Europe-headquartered companies will represent only 3% of worldwide semiconductor capital expenditures in 2022.It should be noted that several Japanese semiconductor companies have also transitioned to a fab-lite business model (e.g., Renesas, Sony, etc.). With strong competition reducing the number and strength of Japanese semiconductor manufacturers, the loss of its vertically integrated businesses and thus missing out on supplying devices for several high-volume end-use applications, and its collective shift toward fab-lite business models, Japanese companies have greatly reduced their investment in new wafer fabs and equipment. In fact, Japanese companies are forecast to represent only 6% of total semiconductor industry capital expenditures in 2018, a big decline from the 22% share they held in 2005 and an even more precipitous drop from the 51% share they held in 1990.Figure 1Although China-headquartered pure-play foundry SMIC has been part of the list of major semiconductor industry capital spenders for quite some time, there are four additional Chinese companies that are forecast to become significant semiconductor industry spenders this year and next—memory suppliers XMC/YMTC, Innotron, JHICC, and pure-play foundry Shanghai Huali. Each of these companies is expected to spend a considerable amount of money equipping and ramping up their new fabs in 2018 and 2019.Due to the increased spending by startup China-based memory manufacturers, IC Insights believes that the Asia-Pac/Others share of semiconductor industry capital spending will remain over 60% for at least the next couple of years.

Key word：

Semi

Release time：2018-06-27 00:00 reading：1370 Continue reading>>

Trade news

Semi Capex Forecast to Exceed $100B for the First Time in 2018

The capital spending story for 2018 is becoming much more positive as compared with the forecast presented in IC Insights’ March Update to The McClean Report 2018 (MR18). In the March Update, IC Insights forecast an 8% increase in semiconductor industry capital spending for this year. However, as shown in Figure 1, IC Insights has raised its expectations for 2018 capital spending by six percentage points to a 14% increase. If this increase occurs, it would be the first time that semiconductor industry capital outlays exceeded $100 billion. The worldwide 2018 capital spending forecast figure is 53% higher than the spending just two years earlier in 2016.Although Samsung says it still does not have a full-year capital spending forecast for this year it did say it will spend “less” in semiconductor capital outlays in 2018 as compared to 2017, when it spent $24.2 billion. However, as of 1Q18, with regard to its capex, its “foot is still on the gas!” Samsung spent $6.72 billion in capex for its semiconductor division in 1Q18, slightly higher than the average of the previous three quarters. This figure is almost 4x the amount the company spent just two years earlier in 1Q16! Over the past four quarters, Samsung has spent an incredible $26.6 billion in capital outlays for its semiconductor group. Wow!IC Insights has estimated Samsung’s semiconductor group capital spending will be $20.0 billion this year, $4.2 billion less than it spent in 2017. However, given the strong start to its spending this year, it appears there is currently more upside than downside potential to this forecast.With the DRAM and NAND flash memory markets still very strong, SK Hynix is expected to ramp up its capital spending this year to $11.5 billion, 42% greater than the $8.1 billion it spent in 2017. The increased spending by SK Hynix this year will primarily focus on bringing on-line two large memory fabs—M15, a 3D NAND flash fab in Cheongju, South Korea and its expansion of its huge DRAM fab in Wuxi, China. The Cheongju fab is being pushed to open before the end of this year. The Wuxi fab is also targeted to open by the end of this year, a few months earlier than its original planned start date of early 2019.

Key word：

Semi Capex

Release time：2018-05-23 00:00 reading：1175 Continue reading>>

UMC Slashes <span style='color:red'>Capex</span>

Trade news

UMC Slashes Capex

　　United Microelectronics Corp. (UMC) said it will pare its capital expenditures for this year to $1.1 billion as the company expects no significant increase in sales this year.　　Taiwan’s second-largest foundry will cut its capex by about a quarter from the $1.4 billion it spent in 2017. The company during most of 2017 was targeting a capex of $1.7 billion after spending $2 billion in 2016.　　The spending cuts come as the company’s sales of 28nm products flounder amid strong competition. UMC’s most advanced 14nm process technology, which the company launched in the second quarter last year, accounted for 2 percent of its overall sales during the fourth quarter of 2017.　　"Our 2018 revenue is not going to grow significantly," said UMC Co-President Jason Wang at an event to announce the company’s fourth-quarter 2017 results. The company is going through a restructuring transition that may take as many as two years, he said.　　UMC expects the overall foundry segment to grow in the high-single digits this year, a forecast that’s in line with that of its larger competitor, Taiwan Semiconductor Manufacturing Co. (TSMC).　　TSMC believes it will continue to lead chip industry growth in 2018 with the company’s annual revenue gaining by as much as 15 percent from 2017. The overall growth rate for the foundry segment this year will be about 10 percent while the semiconductor industry will grow by as much as 8 percent, according to TSMC.　　UMC will increase expenditures on its 200mm fabs to about a third of capex, compared with about 9 percent last year. The boosted investment in the company’s 200mm facilities is aimed at upgrading existing capacity and strengthening average sales prices.　　Demand for chips made on eight-inch wafers has been “very robust,” according to Wang, particularly for mobile products, RF switches, microcontrollers and display drivers.　　Wang also said UMC will ramp up 14nm production, without providing a timeframe.　　UMC said it aims to “recover” in the 28nm business by expanding sales of its HPC and HPC+ versions later this year. The company said its 28nm high-k/metal gate stack (28HPCU) process can be used for products such as application processors, cellular baseband, FPGAs and networking ICs. The company says its new 28HPCU+ can provide a 15 percent boost in performance for wearable, IoT and automotive applications.　　Still, analysts were less positive about UMC’s outlook for a recovery in 28nm given increasing competition in that node and the likelihood that more foundry customers will migrate to 22nm during this year.　　"We remain negative on the 28 nm supply/demand dynamics and worry about the competitive pressure from TSMC and Semiconductor Manufacturing International Corp. (SMIC)," said Mark Li, an analyst with Bernstein in Hong Kong. "The number of new 28nm tapeouts is expected to double this year, but UMC also noted they will be from smaller customers and the individual volumes will be small."　　UMC plans to launch its 22nm process later this year, following TSMC, which has already put its own 22nm technology on the market.　　Focus on Returns　　UMC management repeatedly said during the quarterly results announcement that the new focus for the company is return on investment, a guideline that has made the company "cautious about R&D spending." The company has improved its cash flow and said it may acquire existing older capacity or evaluate mergers and acquisitions.　　UMC and TSMC during this month noted an increase in prices for blank wafers. UMC it said it may pass on those increases to customers while TSMC said it would find ways of internally offsetting the higher wafer prices.

Key word：

UMC,Capex

Release time：2018-01-26 00:00 reading：1402 Continue reading>>

Samsung’s <span style='color:red'>Capex</span> Seen Crushing Memory Startups

Trade news

Samsung’s Capex Seen Crushing Memory Startups

　　Samsung, which has nearly half of the global DRAM market, is likely to crush smaller rivals after more than doubling its plan for capital expenditures in its semiconductor unit for this year, according to market analyst IC Insights.　　The world’s biggest chipmaker will boost 2017 capex from the $11.3 billion it spent last year to an unprecedented $26 billion.　　Buoyed by strong prices for memory chips, Samsung said it sailed to a record quarterly operating income of 14.5 trillion won ($12.8 billion) in October. The outlook continues to be bullish as DRAM prices are expected to increase about 10 percent in the fourth quarter largely due to strong demand in the mobile DRAM market.　　In the meantime, consolidation in the DRAM business has left three companies – Samsung, SK Hynix and Micron – with a combined 95 percent share of the world market. China, which buys about a fifth of the global DRAM supply, has funded the creation of domestic memory producers such as XMC to reduce dependence on imports and get a leg up in the semiconductor industry. China’s plan may be dashed.　　“Samsung’s current spending spree is expected to just about kill any hopes that Chinese companies may have of becoming significant players in the 3D NAND flash or DRAM markets,” IC Insights said in a Nov. 15 report. “This year’s level of spending by Samsung just about guarantees that without some type of joint venture with a large existing memory suppler, new Chinese memory startups stand little chance of competing on the same level as today’s leading suppliers.”　　IC Insights’ latest forecast now shows semiconductor industry capital spending climbing 35 percent this year to $90.8 billion. Samsung’s capex for 2017 is likely to be more than this year’s outlays from Intel and Taiwan Semiconductor Manufacturing Co. (TSMC) combined, according to the market researcher. Samsung, Intel and TSMC are the largest spenders on semiconductor capex.　　Samsung’s semiconductor spending of $8.6 billion in the fourth quarter of this year will account for 33 percent of the $26.2 billion industry total during the period, according to IC Insights. Meanwhile, the company is expected to bring in about 16 percent of worldwide semiconductor sales in the fourth quarter this year, the market research firm said.　　Samsung’s $26 billion in semiconductor outlays this year will be allocated as follows, according to IC Insights.3D NAND flash: $14 billion, including a huge ramp in capacity at its Pyeongtaek fab.DRAM: $7 billion for process migration and additional capacity to make up for capacity loss due to migration.Foundry/Other: $5 billion for ramping up 10nm process capacity.　　Samsung’s massive spending outlays this year will have repercussions far into the future, according to IC Insights. One of the effects likely to occur is a supply glut in the 3D NAND flash market. This overcapacity situation will not only be due to Samsung’s huge spending for 3D NAND flash, but also to its competitors such as SK Hynix, Micron, Toshiba and Intel in response to Samsung’s spending surge. At some point, Samsung’s competitors will need to ramp up their capacity or lose market share, IC Insights said.

Key word：

Samsung,Memory

Release time：2017-11-16 00:00 reading：1592 Continue reading>>

Chip <span style='color:red'>Capex</span> Expected to Soar 20%

Trade news

Chip Capex Expected to Soar 20%

　　Semiconductor industry capital spending will soar by 20 percent this year, largely driven by Samsung, according to market watcher IC Insights.　　The forecast for the industry is in line with an earlier estimation by semiconductor association SEMI for fab equipment sales to jump by 23 percent. The key driver behind strong growth this year has been the memory chip segment.　　Semiconductor industry spending rose by 48 percent in the first half of 2017 compared with the same period last year, IC Insights said in a report emailed to EE Times. The increase in capital spending during the second half of 2017 will depend to a large extent on the level of Samsung’s outlays during the rest of this year, the report said. Samsung is the world’s largest memory chipmaker and has recently become the world’s largest chipmaker as well.　　“Not only has Samsung Semiconductor been on a tear with regard to its semiconductor sales, surging into the number-one ranking in the second quarter of 2017, but the company has also been on a tremendous capital spending spree for its semiconductor division this year,” the IC Insights report said.　　Samsung’s full-year 2017 capital expenditures could range from $15 billion to $22 billion, according to the report. If Samsung spends $22 billion this year, total semiconductor industry capex could reach $85.4 billion, representing a 27% increase over the $67.3 billion the industry spent in 2016, IC Insights said.　　Samsung spent $11 billion for its semiconductor group in the first half of 2017, more than three times what the company spent in the first half of 2016 and $300 million short of Samsung’s total expenditures in 2016, the report noted. Samsung’s first-half 2017 capex accounted for 25 percent of overall chip industry expenditures during the same period and 28 percent of total outlays in the second quarter of this year.　　While the company has publicly reported the $11 billion capex for its semiconductor division in the first half of this year, Samsung has been very secretive about its full-year 2017 budget for its semiconductor group, IC Insights said.　　Spending surges often precede severe slumps in the cyclical chip industry. In 2012, the last time Samsung went on a spending spree, the company slashed its second-half capex by more than 50 percent from $8.5 billion in the first half of 2012 to $3.7 billion during the second half of the same year, IC Insights said.　　The other two of the top-three spenders, Taiwan Semiconductor Manufacturing Co. (TSMC) and Intel, are likely to move in opposite directions with their second-half 2017 capex plans, according to the report.　　TSMC spent about $6.8 billion in the first half of this year. If the world’s largest foundry sticks to its $10 billion budget for this year, it would only spend about $3.2 billion in the second half of 2017. By comparison, Intel invested only about $4.7 billion in the first half of this year, allowing the company to spend up to $7.3 billion in during the second half in order to reach its stated full-year 2017 spending budget of $12.0 billion, according to the report.

Key word：

Chip Capex,Expected

Release time：2017-08-24 00:00 reading：1375 Continue reading>>

model	brand	Quote
TL431ACLPR	Texas Instruments
MC33074DR2G	onsemi
BD71847AMWV-E2	ROHM Semiconductor
CDZVT2R20B	ROHM Semiconductor
RB751G-40T2R	ROHM Semiconductor

model	brand	To snap up
STM32F429IGT6	STMicroelectronics
ESR03EZPJ151	ROHM Semiconductor
BU33JA2MNVX-CTL	ROHM Semiconductor
IPZ40N04S5L4R8ATMA1	Infineon Technologies
BP3621	ROHM Semiconductor
TPS63050YFFR	Texas Instruments

PART	Quantity*	Target Price
	Quantity MOQ: 1	Target Price $ If not sure, you may skip this
remark

Telephone *	Name
Company
Email