Recently, ADI (Analog Devices), a major analog chip manufacturer, recently issued a price increase notice to dealers in mainland China, and the price increase will be implemented from February 4, 2024, and the increase is expected to be one to two percent.
ADI's price increase includes new orders and existing demandAnd for different periods of product price differentiation, such as mass production 20 years increase in 15, mass production 25 to 30 years increase in 20;The exact magnitude has yet to be officially confirmed.
ADI is the world's second-largest analog chip manufacturer, second only to Texas Instruments (TI) in terms of market share. The ADI product line is mainly produced in IDM mode, covering consumer electronics, industrial, automotive, data center, etc., and the products cover the low-end to high-end markets.
Some power management IC manufacturers said that because ADI has increased the price of some old models, it is not a comprehensive price increase. More people estimate that the reason for ADI's price increase, in addition to reflecting rising costs, is also to stimulate customers to buy new models and help sales. Another IC design manufacturer questioned that the inventory adjustment may make some IC products in the market too low, resulting in a rebound.
According to industry insiders, ADI's price increase reflects its optimism about the recovery of industrial demand. The life cycle of analog chips is relatively long, and in order to promote the promotion and application of new products, chip manufacturers usually increase the price of old products. By upgrading older products** and encouraging customers to upgrade to new products, ADI has driven market demand and demonstrated confidence in future growth.