SK Hynix also foresees a slowdown in the smartphone industry
Chip and memory maker SK Hynix also foresees a reduction in revenue, mainly due to the stagnation of the smartphone industry.
There have been several news about TSMC in recent weeks, where it was indicated that the company noticed a decrease in the demand for solutions (chips) for different markets, especially smartphones, and a few days ago we also learned that the company Taiwanese semiconductor did not know what to do with thousands of chips for the iPhone. The problems within the silicon industry do not end, as SK Hynix, one of the largest memory chip manufacturers, highlights that there will be a decrease in demand in the smartphone industry, which would be offset by the demand for servers and of high-end chips.
The smartphone market is experiencing a sharp slowdown, especially in high-end smartphones, as users have grown tired of overpaying for their terminals. Expectations, inflated, have been punctured and this year a more moderate demand for chips is expected for these products, which will also affect profits, which are also possible to contract.
Sean Kim, Head of DRAM Marketing at SK Hynix, said: "Even though overall smartphone sales growth stalled, China's big four smartphone firms will lead the accelerated adoption of high-capacity chips." 'Regarding servers, Internet data center companies in North America and Chinese companies led by Baidu, Alibaba and Tencent, are increasing investment'
DRAM prices have been rising sharply in recent months, due to increased demands on servers and gaming equipment. The company also noted that they expect strong demand for server DRAM over the next two to three years, and that the server market is a significant part of the revenue.
They have also highlighted that the price of DRAM needed a significant increase in production capacity within the industry, due to supply problems due to the difficulty of producing the chips. The company also says that they do not expect production to exceed demand this year.
Source: fudzilla
