January 23, 2021
According to a report by the Central News Agency, the market for NOR Flash is in short supply, and Winbond and Macronix are busy. After leading Winbond’s price increase of 7% to 10% in the first quarter of next year, due to the active stocking of customers, it intends to increase prices by 10% in the second and third quarters of next year, which means that the cumulative increase in the next three quarters will exceed 30%. According to the supply chain, Winbond’s full-capacity production is still unable to meet all customer needs and has suspended accepting new orders.
The legal person pointed out that the previous panel quotations were the first to show an upward trend in price and volume, and the panel double tiger AUO and Innolux raised prices at the same time to welcome the market boom. With Winbond’s news that prices have risen for three consecutive quarters in the memory field, it means that the "Dual D (panel, memory)" market is once again welcoming the market's prosperity and demand exceeds supply.
Since double-D products are essential key components of major electronic products, as the two major components are out of stock and the quotations have risen simultaneously, this affects the shipment of downstream mobile phones, laptops and other terminal devices. Related brand factories stock up and reflect costs Ability is tested.
Winbond has never commented on orders and prices, emphasizing that next year's NOR Flash market is optimistic, customer demand continues to be strong, and market supply remains tight. However, the news that "Winbond’s quotation has risen to the third quarter and suspending new orders" has spread in the industry. The buying position has been aggressively increased. Last Friday (25th) the stock price once hit a new high of 27.05 in the past three years. Yuan rose 0.9 yuan to close at 26.7 yuan.
Industry insiders pointed out that this wave of NOR Flash's popularity was mainly related to the imbalance between supply and demand. On the supply side, due to SMIC being included in the trade blacklist by the United States, the innovative output of the mainland NOR chip manufacturer with SMIC as the main production plant was simultaneously blocked, resulting in a decrease in supply.
In terms of demand, Apple’s new iPhone 12 series this year is equipped with OLED screens for the first time in all models, which must be externally equipped with NOR chips. As the sales of the iPhone 12 series have repeatedly passed on good results, especially the large-size Pro and Pro Max models are hot sellers, promoting Winbond NOR Chip shipments increased simultaneously.
On the other hand, Apple released the new over-ear true wireless Bluetooth headset (TWS) AirPods Max. Although the asking price is high, the buying momentum is unexpectedly strong and the world is out of stock. Now you have to wait at least 12 to 15 weeks for the order to be picked up. It is rumored that Apple has added orders for chips and components to catch up. Winbond supplied the NOR chips required for AirPods Max, once again grabbing Apple's new product boom.
The legal person pointed out that the TWS market demand has exploded in recent years. Apple, Sony, BOSE, Beats, Samsung, and Huawei have all launched their own TWS headsets. Each TWS needs to be equipped with NOR chips to assist in computing, which greatly increases the market's demand for NOR chips.
Winbond is the global leader in NOR chips. According to a market research organization WebFeet Research report, Winbond had a market share of 22.8% in NOR-related chip revenue last year; last year’s total shipments of flash memory exceeded 3 billion, with a global share of shipments. Even more rushed 27.3%.
In terms of serial NOR Flash (Serial NOR Flash) alone, Winbond has been the largest supplier in the market since 2012, and has a 27.1% market share in the global US$2.009 billion market in 2019. After 2021, HOREXS is also actively planning to establish carrier board cooperation with Winbond, hoping to promote the development of cross-strait science and technology based on this foundation. At the same time, HOREXS also hopes to contribute to China's semiconductor industry.