According to TrendForce’s latest memory spot price trend report, regarding DRAM, reball DDR4 and DDR5 chips stripped from modules continue to flow into the spot market, adversely affecting the market outlook. As for NAND flash, contract prices for 3Q24 have exhibited signs of loosening. Some module houses are even selling their high-priced client SSD at a loss in order to rid inventory and reduce overall losses. Details are as follows:

DRAM Spot Price:

Reball DDR4 and DDR5 chips stripped from modules continue to flow into the spot market. Since prices of reball chips are lower compared with eTT chips and are in good quality, these products are adversely affecting the market outlook. Additionally, facing mounting pressure to sell, some module houses with higher inventory levels have started to cut prices, focusing primarily on clearing their stocks. Overall, the spot market is unlikely to see a significant improvement in the short term. The average spot price of mainstream chips (i.e., 1Gx8 2666MT/s) fell by 0.10% from US$1.964 last week to US$1.962 this week.

NAND Flash Spot Price:

Contract prices for 3Q24 that have exhibited signs of loosening, alongside the market’s reserved attitude on the future prospect, have prompted a rather large degree of truncation among retail and channel markets. Some module houses are even selling their high-priced client SSD at a loss in order to rid inventory and reduce overall losses. This phenomenon is likely to persist until 4Q24. Spot price of 512Gb TLC wafers dropped by 3.73% this week, arriving at US$2.710.

Global Unichip Corp. (GUC), a leading provider of advanced ASIC solutions, announced that its 3nm HBM3E Controller and PHY IP have been adopted by a major cloud service provider and several high-performance computing (HPC) companies. The cutting-edge ASIC is expected to tape out this year, featuring the latest 9.2Gbps HBM3E memory technology.

In the same announcement, GUC highlighted its active collaboration with HBM suppliers like Micron, stating it is developing HBM4 IP for next-generation AI ASICs.

GUC noted that its joint efforts with Micron have demonstrated the ability of GUC’s HBM3E IP to achieve 9.2Gbps with Micron’s HBM3E on both CoWoS-S and CoWoS-R technologies. Test chip results from GUC show successful PI and SI outcomes, with excellent eye margins across temperature and voltage variations at these speeds.

Moreover, when GUC’s HBM3E IP is integrated with Micron’s HBM3E timing parameters, it improves effective bus utilization, further boosting overall system performance.

“We are thrilled to see our HBM3E Controller and PHY IP being integrated in CSP and HPC ASICs.” said Aditya Raina, CMO of GUC. “This adoption underscores the robustness and advantages of our HBM3E solution, which is silicon-proven and validated across multiple advanced technologies and major vendors. We look forward to continuing our support for various applications, including AI, high-performance computing, networking, and automotive.”

“Memory is an integral part of AI servers and foundational to the performance and advancement of data center systems,” said Girish Cherussery, senior director of Micron’s AI Solutions Group. “Micron’s best-in-class memory speeds and energy efficiency greatly benefit the increasing demands of Generative AI workloads, such as large language models like ChatGPT, sustaining the pace of AI growth.”

(Photo credit: GUC)

A month ago, Kioxia has reportedly submitted its initial public offering (IPO) application to the Tokyo Stock Exchange. However, as the memory market recently seems to be on a roller coaster ride, the latest report by Reuters notes that the Japanese memory chip maker has decided to cancel its plan to be listed in October.

Citing reports by Japanese media, another report by MoneyDJ indicates that Kioxia’s IPO is expected to be delayed until November or later.

Reuters points out that Kioxia has been aiming for a market valuation of JPY 1.5 trillion (roughly USD 10.39 billion). Nevertheless, the recent decline in shares of other listed memory companies, including Samsung, SK hynix and Micron, has made this target difficult to achieve.

According to Reuters, Bain Capital, which holds a 56% stake in Kioxia along with SK hynix, declined to comment. Kioxia, on the other hand, responded by saying that it is preparing to go public when the timing is right.

This is not the first time Kioxia abandoned its IPO plan. The memory giant had previously scheduled to be listed in 2020. However, due to continued market volatility and ongoing concerns about a second wave of COVID-19, the company gave up the plan in September, 2020.

A few days ago, Japan’s Tokyo Metro initiated the processes to launch its IPO next month. According to The Japan Times, Tokyo Metro aims to raise USD 2.25 billion, marking the country’s largest IPO in six years. Should Kioxia stick to its plan to kick off the IPO by 2024, the deal were to become the largest one of the year.

According to TrendForce, in the NAND Flash market, Kioxia ranked third in revenue in the second quarter of 2024, with a 13.8% market share, after Samsung (36.9%) and SK Group (22.1%).

Read more

• [News] Kioxia’s IPO Paves the Way for SK Hynix to Secure Funds for HBM Investment
• [News] Kioxia Filed for Listing, Reportedly Marking Japan’s Largest IPO of the Year

(Photo credit: Kioxia)

Recently, several 6-inch production lines have made significant advancements, focusing on third-generation semiconductor materials like silicon carbide (SiC) and gallium oxide (Ga2O3).

NEXIC Successfully Completes First Wafer Batch in Its Fab

On September 21, NEXIC announced that it had successfully completed the first wafer batch in its fab. NEXIC focuses on technological innovation and product development in SiC power devices and power modules, part of the third-generation semiconductors. The fab which located in Jiangyin, Jiangsu Province, China, began construction in August 2023, with equipment installation scheduled for August 2024.

Reports indicate that NEXIC’s 6-inch power semiconductor manufacturing project has a total investment of RMB 2 billion. The products can be widely used in electric vehicles, photovoltaic power generation, rail transit, and 5G communication. Once fully operational, the fab is expected to have an annual production capacity of 1 million wafers.

In June of this year, industry news revealed that NEXIC’s third-generation semiconductor power module R&D and production base project had signed an agreement to settle in Xidong New City, Wuxi, China. This project with a total investment of over RMB 1 billion, focuses on building an automotive-grade third-generation semiconductor power module packaging line, covering applications such as main drive systems, ultra-fast charging piles, photovoltaics, and industrial uses. The project is expected to begin production in 2025, with an annual output of approximately 1.29 million units and an estimated annual output value exceeding RMB 1.5 billion.

China’s First 6-Inch Gallium Oxide Monocrystalline and Epitaxial Wafer Growth Line Breaks Ground

On September 10, Fujia Gallium commenced construction of a 6-inch gallium oxide monocrystalline and epitaxial wafer growth line in Fuyang, Hangzhou.

Founded in 2019, Fujia Gallium is committed to the commercialization of ultra-wide bandgap semiconductor gallium oxide materials, focusing on the growth of gallium oxide monocrystals and the development, production, and sale of gallium oxide substrates and epitaxial wafers. Its products are mainly used in power devices, microwave RF, and optoelectronic detection.

It is reported that Fujia Gallium is currently the only company in China capable of both 6-inch monocrystal growth and epitaxy. This project marks the construction of China’s first 6-inch gallium oxide monocrystalline and epitaxial wafer growth line.

RIR’s 6-Inch Silicon Carbide Device Factory Completed with an Investment of INR 5.1 billion

On September 4, RIR Power Electronics Limited announced the completion of its silicon carbide semiconductor manufacturing plant in Odisha, India, with a total investment of INR 5.1 billion.

RIR is a subsidiary of the U.S.-based Silicon Power Group in India, specializing in the production of power electronic components. RIR’s product portfolio includes low to high-power devices and IGBT modules, serving industries such as energy, transportation, renewable energy, and defense.

In July 2023, Silicon Power Group announced the establishment of the SiC factory in Odisha, India, dedicated to producing 6-inch SiC wafers. The investment was made through its Indian subsidiary, RIR. In October 2023, RIR received approval from the Odisha state government to invest INR 5.108 billion in the project, which is expected to be fully operational by 2025.

In addition to RIR, Chennai-based SiCSem Private Limited announced in June its plans to establish a silicon carbide (SiC) manufacturing, assembly, testing, and packaging (ATMP) plant in Odisha, India.

On June 15, SiCSem signed a cooperation agreement with the Indian Institute of Technology Bhubaneswar (IIT-BBS) to collaborate on research in the compound semiconductor field. Their first joint project aims to localize SiC crystal growth at IIT-BBS, focusing on the mass production of 6-inch and 8-inch SiC wafers, with an estimated investment of INR 450 million (approximately RMB 38 million).

(Photo credit: Fujia Gallium)

According to The Hindu, India, under a transformative partnership with the U.S., is set to establish its first national security semiconductor fabrication plant. This facility will produce chips for military hardware in both nations, as well as for critical telecommunications and electronics networks.

The ambitious project was announced following talks between Prime Minister Narendra Modi and U.S. President Joe Biden in Wilmington on September 21. The two leaders hailed this first-ever India-U.S. semiconductor fabrication collaboration as a “watershed moment,” according to a joint fact sheet.

Based on a report by Bloomberg, the planned India-U.S. semiconductor plant will manufacture infrared, gallium nitride, and silicon carbide semiconductors. In a joint statement, both sides indicated that the India Semiconductor Mission, along with the strategic technology partnership between Bharat Semi, 3rdiTech Inc, and the U.S. Space Force, will provide support for the establishment of the plant.

Meanwhile, Vietnam is also ramping up efforts to develop its semiconductor industry, having set a development blueprint for 2030 with a vision extending through 2050.

As reported by Vietnam Plus, the country plans to capitalize on its geopolitical advantages and labor market strength to selectively attract foreign direct investment (FDI) in the semiconductor sector during the first phase, from 2024 to 2030.

Vietnam aims to become a global hub for semiconductor talent by strengthening its capabilities across the entire supply chain, from research and design to manufacturing, packaging, and testing.

The Vietnamese government has set an ambitious goal of training 50,000 engineers by 2030 to support this high-tech industry. In the second phase, from 2030 to 2040, Vietnam plans to further integrate with global semiconductor and electronics industries, becoming a key global center. By the third phase, from 2040 to 2050, Vietnam aspires to be a global leader in semiconductors and electronics, advancing its research and development capabilities.

By the end of this period, Vietnam aims to build a self-sufficient semiconductor ecosystem, securing a leading position in various steps of the global supply chain.

(Photo credit: Samsung)