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Last Updated: 10/18/24
U.S. Reacts to China’s Gallium Export Controls
China enacted a regulation in October to assert ownership over its Gallium, rare-earth materials vital for semiconductors, prompting the U.S. to respond. DARPA asked Raytheon to develop semiconductors using synthetic diamond and aluminum nitride to reduce reliance on China’s materials.
Amkor partners with TSMC in U.S.
TSMC’s Arizona plant will mass-produce 4nm chips with support from Amkor’s packaging and testing services. This aligns with the U.S. CHIPS Act to localize chip manufacturing, and Apple’s U.S. made A16 SoCs are expected to debut soon, benefiting from InFO packaging.
Samsung Speculated to Cut HBM Production
Samsung is rumored to reduce its HBM production capacity target by over 10%, from 200,000 to 170,000 units per month by 2025, amid delays in HBM3e mass production. This cautious approach follows underperformance in its HBM business and pending confirmation of supply for NVIDIA.
China’s SiC substrate prices drop
Since early 2024, China’s 150mm silicon carbide (SiC) substrate prices have dropped due to oversupply, with rates falling below $500. Fierce competition and price wars are straining suppliers, with some facing potential consolidation by mid-2025 as financial pressures mount amid weak demand.
Intel Moves to TSMC for Chip Production
Intel’s Lunar Lake processor, built using TSMC’s N3B process, has launched, boasting the highest energy efficiency among x86 processors, outperforming AMD and even rivaling Apple’s M3. Intel’s reliance on TSMC for Arrow Lake raises questions about AMD’s ability to maintain its edge.
China to have 11% of global DRAM
China’s Changxin Memory Technologies is projected to hold 11% of global DRAM capacity by the end of 2024, ranking fourth globally. Its rapid expansion could lead to oversupply, affecting prices, while U.S. restrictions may impact further advancements.
More Component Compass news
The U.S. is implementing stricter trade restrictions on China
US Restrictions Impact Companies
The U.S. is implementing stricter trade restrictions on China, impacting semiconductor companies like Intel and Qualcomm. While specific GPU exemptions aim to support American tech, ongoing discussions about limiting exports of advanced chip technologies highlight the evolving tech war and associated challenges.
Nvidia Reinforces AI Strategy
Nvidia’s acquisition of Mellanox reinforces its strategic focus on AI and high-performance computing. Mellanox’s CX7 adapter cards are key to Nvidia’s future offerings, but ongoing integration challenges and product shortages may continue to affect customers dependent on these technologies.
Nvidia Surpasses GPU Competitors AMD & Intel
The AI landscape has ignited fierce competition, with Nvidia leading the charge in GPU technology, significantly influencing the market. As rivals like AMD and Intel introduce cost-effective alternatives, the race for pricing, performance, and innovation continues to reshape the industry.
Broadcom Increases Price of Automotive Switch
Broadcom’s Q1 2024 earnings revealed a year-on-year doubling of switch sales, driven by high demand and supply constraints for its ethernet switches and adapter series. The BCM89 series, essential for AI-driven automotive systems, has seen price increases due to limited supply.
AI Demand Increases Memory Prices
Rising AI demand is driving significant pressure on memory component pricing, particularly for high-bandwidth options like HBM. Limited availability and fluctuating prices have prompted manufacturers to transition to DDR5, while HDDs are gaining traction for cost-effective large-scale storage solutions.
TSMC Shifts to Smaller Nodes
TSMC is transitioning to the fabrication of smaller semiconductor nodes, such as 7nm and 5nm to meet the rising demand for computational power and energy efficiency in AI applications, enabling greater transistor integration, higher processing speeds, and reduced power consumption for complex algorithms and large datasets.
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