© pichetw dreamstime.com Components | June 23, 2020
NOR Flash ASP to potentially drop in 2H20
NOR Flash buyers found that their inventories were low and stepped up their procurement efforts as they anticipated the growing risk of COVID-19 causing disruptions in the supply chain.
These efforts sustained the uptrend of NOR Flash prices from 1Q20 to 2Q20. NOR Flash ASP climbed by around 5% QoQ in 1Q20 and increased even further, by about 10% to 20% QoQ in 2Q20. Since NOR Flash buyers have been stocking up as a precaution against potential problems in the supply chain, their inventories are now quite sufficient. As well, although various governments have gradually begun to restart their economies due to economic pressures from extended lockdowns, retail consumer demand has yet to make a decent recovery. The outlook on NOR Flash prices in 2H20 is therefore bleaker; TrendForce expects NOR Flash prices to take a downturn in 3Q20. As uncertainties in 5G demand grow, SLC Flash ASP, which is highly correlated with NOR Flash ASP, is expected to further decline in 2H20 TrendForce indicates that there has historically been a high degree of correlation between the prices of NOR Flash and SLC Flash. With regards to the supply and demand of SLC NAND, the demand for consumer electronics has been weakening since April. On the other hand, the market for networking devices, which also constitute a significant source of SLC NAND consumption, benefitted from the build-out of 5G infrastructure in China, and the visibility of related orders extends to the end of 3Q20. Nevertheless, the 5G infrastructure projects in Europe and North America are facing delays due to the pandemic’s impact. Additionally, the U.S. government has announced more export restrictions against Huawei and added FiberHome to the Entity List, effective since June 5. Although FiberHome can rely on its existing inventory to maintain operations for the time being, the latest sanctions by the U.S. will bring uncertainties to the anticipated progress of China’s 5G infrastructure build-out in 4Q20. TrendForce thus forecasts a minor decline in SLC NAND prices in 3Q20, with the decline expanding in 4Q20 due to the lack of demand. Chinese manufacturers have noticeably ramped up both quantity and quality of NOR Flash memory because of its wide scope of applications In the aspect of manufacturing technologies, the mainstream process for high-density NOR Flash products has advanced from the 65nm node to the nodes in the 50nm class, while low-density NOR Flash products are still being manufactured with the 65nm or the nodes of the earlier generations. Turning to applications, one of the most popular uses of NOR Flash in the recent years is TWS Bluetooth earphones (or earbuds). Each piece of Apple AirPods contains a 128MB NOR Flash chip, while the density of NOR Flash chips used in other TWS Bluetooth earphones ranges between 16MB and 64MB. On the other hand, IoT-related hardware also represents a considerable source of NOR Flash consumption. Since IoT-based devices are, for the most part, closed embedded systems, they do not require much memory. NOR Flash chips are therefore particularly well-suited for this application because they are concentrated in the lower end of the density range, including 8/16/32MB. As well, yet another significant application for NOR Flash can be found in AMOLED panels. A major issue associated with AMOLED panels is the mura effect (that is, uneven screen lighting), which is eliminated via de-mura codes. The codes that compensate for the mura defect and ensure a consistent quality for panels from the same batch are stored in a NOR Flash chip, usually 4/8MB in density. In terms of the global top three NOR Flash suppliers by revenue, Macronix leads the pack in not only market share but also process technology. It is currently manufacturing with the 55nm node and has a production capacity of around 20,000 wafers per month. Macronix’s product lines for NOR Flash are very comprehensive and cover the entire density range. With respect to strategy, Micronix aims to benefit from the future demand related to the construction of 5G base stations. To that end, it has developed the 512MB chip as one of its main offerings. Such high-density solution is also very rare in the NOR Flash market. Windbond as the second leading supplier trails closely behind Macronix and currently manufactures with the 58nm and 90nm nodes. Windbond has a production capacity totalling about 18,000 wafers per month. Third-place GigaDevice, based in China, has made great strides with respect to raising output and product quality in recent years. Furthermore, GigaDevice is already recognised for its R&D capability as it has managed to capture orders for NOR Flash chips used in Apple AirPods. GigaDevice has a production capacity of around 9,000 wafers per month. Its wafer input is distributed between its foundry partners SMIC and HLMC. Worth mentioning is the fact that GigaDevice is a majority shareholder of CXMT, meaning it now possesses the capability to pursue R&D of both DRAM and NOR Flash and is expected to play a key role in the development of China’s semiconductor industry.
The UK’s biggest wafer fab wants to become even bigger Newport Wafer Fab, Infineon’s former manufacturing fab in South Wales, is looking to raise GBP 50 million to expand its production capacity amidst global semiconductor shortage.
TE Connectivity has sold Axicom to RCP TE Connectivity has divested its Axicom high voltage products business division to RCP Group, an independent investment firm based in Munich.
Sponsored content by Shenzen Kinwong ElectronicThe development trend of printed circuit board products and Kinwong's solution With the rapid development of electronic technology in recent years, printed circuit board (PCB) products are pursuing higher heat dissipation capabilities, with high voltage and high current characteristics, and are developing towards high-density interconnection technology (HDI).
John Ternus to take over as Apple's hardware engineering chief Apple's Dan Riccio will transition to a new role focusing on a new project and reporting to CEO Tim Cook. John Ternus will now lead Apple’s Hardware Engineering organization as a member of the executive team.
HC Solutions is now in the hands of S&T S&T AG has acquired 100% of the Linz-based company HC Solutions GmbH (HCS) through its wholly-owned subsidiary Kontron Technologies GmbH (KTEC).
Cadence to acquire NUMECA Cadence Design Systems has entered into a definitive agreement to acquire NUMECA International, a company focused on computational fluid dynamics (CFD), mesh generation, multi-physics simulation and optimization.
Tech Etch installs Aqua Rose cleaner and tester Tech Etch, a US-based provider of custom flex and rigid-flex circuits, EMI/RFI shielding solutions, and precision etch & form, has purchased an Aqua ROSE Batch Cleaner/Ionic Contamination Tester.
GlobalWafers increases its offer for Siltronic GlobalWafers says it has increased its all-cash takeover offer of Siltronic, by its subsidiary GlobalWafers GmbH, to EUR 140 per Siltronic share.
NI and Konrad ink agreement to accelerate autonomous vehicle test NI and Konrad Technologies (KT) have entered into a strategic agreement to develop test systems and solutions for autonomous driving software and hardware validation.
Intel expands in Poland The US chipmaker is preparing to expand its operations in the Polish city of Gdańsk. The company will be constructing its sixth building at its campus in the city.
Murata completes new Okayama production building The Japanese company’s production subsidiary, Okayama Murata Manufacturing, initiated an expansion of its operations in Setouchi City with a new production building in December 2019. Now the building stands complete.
Osram signs supply and commercial agreement with LeddarTech ADAS and AD sensing specialist, LeddarTech, and automotive lighting and laser systems supplier Osram, have entered into a long-term agreement.
ITW to acquire MTS Test & Simulation business From Amphenol Illinois Tool Works Inc., a global multi-industrial manufacturing company, and the provider interconnect, antenna and sensor solutions, Amphenol Corporation, have entered into an agreement under which ITW will acquire MTS Systems Corporation’s Test & Simulation business, following the closing of Amphenol’s acquisition of MTS.
Tobey Gonnerman named Fusion Worldwide's new President The global sourcing distributor announces that Tobey Gonnerman has been appointed as the company’s new President.
Solving the Cable TV Infrastructure Downstream Transmitter Challenge Driven by demand for faster internet connectivity, the cable TV industry has developed new network architectures for the delivery of multigigabit services to subscribers. This fiber deep approach, using a remote PHY device (RPD), moves critical hardware closer to the users by using digital fiber.
Boyd expands its footprint with new facility in Mexico Thermal management and engineered material solutions specialist Boyd Corporation, has expanded its presence in North America with a newly built facility strategically located in Juarez, Mexico.
Farnell becomes a global distribution partner NI the distributor of electronic components, products and solutions has been appointed as an NI Authorized Distributor, expanding its product portfolio to include NI software-connected test and measurement solutions for customers of all sizes.
Foxconn and Winbond invest in chipmaker Kneron Foxconn and Winbond joins companies such as Qualcomm, Horizons, Sequoia and Weltrend as high profile investors in Kneron
EV Group sets up customer training facility at HQ EV Group (EVG) has established the EVG Academy, a training facility for customers that provides technical training on all classes of the company's equipment as well as on its CIM Framework software platform in an optimised environment.
Denso team up with Aeva to develop sensing and perception systems Mobility supplier Denso says that it is partnering with U.S. LiDAR and perception systems company, Aeva, to develop next-generation sensing and perception systems.
Fire hit Taiwanese MLCC manufacturer in China On January 13 a fire broke out at Taiwanese passive component maker Walsin Technology’s Dongguan, China site.
Thin Film Products joins SERMA Microelectronics SERMA Microelectronics, a subsidiary of the French electronics specialist SERMA Group, has finalised the purchase of TFP (Thin Film Products), a French manufacturer of thin-film microwave circuits for space, military and civil applications.
New Korean Zestron Technical Center opens for customers The provider of high precision cleaning products has expanded its operations by opening a new Technical Center, located in Anyang, Korea.
A2 Global Electronics names new executives Electronic component distribution and supply chain service provider, A2 Global Electronics, has appointed Anthony Andriano as its new Chief Financial Officer and promoted Jesper Romell as its new President.
ROHM expands production capacity of SiC power devices ROHM has recently held an opening ceremony announcing the completion of a new building at ROHM Apollo's Chikugo plant, which the company started building back in February 2019, to enhance the production capacity of SiC power devices.
Elmos acquires Online Engineering GmbH Elmos is strengthening its in-house competencies in software engineering via the acquisition of Dortmund based engineering service provider Online Engineering.Load more news