TrendForce：2021 The Third-Generation Semiconductor Power Application Market Report
Demand for fast chargers used for various consumer electronics has been quickly rising. For instance, smartphone brands such as Xiaomi, OPPO, and Vivo led the industry by releasing fast chargers in 2018, subsequently gaining consumer acceptance via their fast chargers’ competitive advantages in cooling efficiency and compact physical dimensions. At the moment, notebook computer manufacturers are also expressing a willingness to adopt fast charging technology. Hence, the GaN power devices segment became the fastest-growing category in the third-generation semiconductor industry. TrendForce expects annual GaN power devices revenue for 2021 to reach US$83 million, an impressive 73% YoY increase.
The latest analysis of the NAND Flash market from TrendForce finds that shipments have been below expectations for consumer electronics such as smartphones, Chromebooks, and TVs during this second half of the year. At the same time, demand remains sluggish for retail storage products including memory cards and USB drives. Data centers and enterprise servers represent the only applications that show relatively strong demand. With the inventory level of the demand side steadily rising, the procurement momentum of NAND Flash buyers will become more constrained going forward. The gradual weakening of demand is also relieving the shortage of NAND Flash controller ICs. Taking account of these factors, TrendForce forecasts that quotes for NAND Flash products will begin to fall in 4Q21, and NAND Flash contract prices will register QoQ declines of 0-5% for that period.
Following the peak period of production in 3Q21, the supply of DRAM will likely begin to outpace demand in 4Q21, according to TrendForce’s latest investigations (the surplus of DRAM supply is henceforth referred to as “sufficiency ratio”, expressed as a percentage). In addition, while DRAM suppliers are generally carrying a healthy level of inventory, most of their clients in the end-product markets are carrying a higher level of DRAM inventory than what is considered healthy, meaning these clients will be less willing to procure additional DRAM going forward. TrendForce therefore forecasts a downward trajectory for DRAM ASP in 4Q21. More specifically, DRAM products that are currently in oversupply may experience price drops of more than 5% QoQ, and the overall DRAM ASP will likely decline by about 3-8% QoQ in 4Q21.
In this press release, TrendForce details 10 major trends that are expected to take place across various segments in the tech industry.