According to a report from Commercial Times, Arthur Chiao, Chairman of Winbond, stated that this upward market cycle for the memory sector has arrived on time. Reportedly, customers are not worried about shortages, and all products made by Winbond will sell well all year round, boosting the momentum in 2025.

Looking at Winbond’s recent revenue trend, the company’s performance has risen in the second quarter, further hinting that the upward market cycle has arrived on time. Chao anticipates that this upward cycle could last for two years, making 2025 a good year throughout, with a possible downturn in 2026.

Considering Winbond’s NOR Flash, which has held the largest global market share since 2020, Chiao noted that this product is widely used in automotive, communication, telecommunications, wearable devices, and other technological applications. Overall, its sales recovery also represents a revival of the electronics market.

Regarding individual industries, as per the same report, Winbond expects the PC end market to grow by 5% to 10% in 2024. The mobile phone market, which has been in decline for three years, is also rebounding from its trough, with an estimated single-digit percentage growth. Consumer products, the first sector to undergo inventory adjustments, are also the fastest to recover. Networking and communications, driven by the growing application of Wi-Fi 7, is also optimistic in the second half of the year.

Winbond is also implementing the NCNT (Non-Taiwan, Non-China) strategy. Arthur Chiao emphasized that global trends are irreversible, and the company is starting to make early preparations in response to customer demands. Winbond’s General Manager, Pei-Ming Chen, added that the company will outsource packaging and testing to a partner factory in Malaysia and will first conduct product verification work. Although costs will rise, customers have indicated that it is acceptable.

Chiao further stated that in response to the AI trend, Winbond has adjusted its strategy and business organization. The company is transitioning from a component supplier to a service-oriented manufacturer and have established a dedicated business unit for customized memory solutions (CMS).

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(Photo credit: Winbond)