The price of the American and South Korean chip giants has increased by 60, will they reap the Chine

Mondo Cars Updated on 2024-02-17

The price of the American and South Korean chip giants has increased by 60, will they reap the Chinese market?

Especially during the 618, consumers who bought DRAM and NAND flash memory were very happy because it is now"Coal prices", up to 50% cheaper than last year.

However, according to Trendforce, by Q4 2023, memory **will**, with contracts for DRAM and NAND at 18-23% to date.

Trendforce's DRAM and NAND flash memory will be available in 2024 or later, depending on how effectively vendors control their production capacity.

Why is there a huge increase by 2024? The reason is simple: the chip industry is a cyclical process. When an industry reaches its lowest point, it loses money for a while, and when it reaches its lowest point, it makes a lot of money again.

By 2022-2023, the memory wafer industry will go into decline, the emergence of memory wafers in various countries will break the monopoly of manufacturers in various countries, and the world memory wafer market will decline sharply.

According to statistics, due to a weak market, high inventories, and forced price cuts, Micron, SK hynix, Samsung, and other companies will lose more than 150 billion yuan by 2023 alone.

However, judging from the current situation, the cold winter has passed, and these large companies have been able to hold on despite heavy losses. In the past, some companies went bankrupt, but this time they all survived.

If the chip *** of course will **, and this is exactly what most manufacturers want. That's why it's ***60% this year.

China is the world's largest market, with 400 billion yuan of chips imported from China, and more than 350 billion yuan last year.

350 billion yuan, of which one-third is used for storage, worth nearly 1.2 trillion yuan. If it is 50%, it is five or six billion yuan, and the loss of 150 billion yuan cannot be fully compensated?

Now, the most important thing is that domestic memory producers can't increase production, increase market share, increase production to drive down **, so that these foreign companies can't capture the market.

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