According to the Industrial and Commercial Times reported, TrendForce's photoelectric research office said that in 2021, Apple, Samsung and other brands plan to launch fully equipped with Mini LED backlight display of laptops, tablets, TVS and other products, the supply chain has started ahead of the fourth quarter of 2020, resulting in a surge in demand for Mini LED chips. In turn crowding out the capacity supply of conventional chips. In the face of structural shortage of LED chips, some LED chip manufacturers have been adjusted to increase the chip price of non-core customers and low gross profit products, and it is estimated that the increase is about 5~10%.
According to the Industrial and Commercial Times reported, TrendForce's photoelectric research office said that in 2021, Apple, Samsung and other brands plan to launch fully equipped with Mini LED backlight display of laptops, tablets, TVS and other products, the supply chain has started ahead of the fourth quarter of 2020, resulting in a surge in demand for Mini LED chips. In turn crowding out the capacity supply of conventional chips. In the face of structural shortage of LED chips, some LED chip manufacturers have been adjusted to increase the chip price of non-core customers and low gross profit products, and it is estimated that the increase is about 5~10%.
According to TrendForce, Apple and Samsung are planning to launch a series of display products with full Mini LED backlight in 2021, which will increase the demand for Mini LED chips and affect the supply of conventional chips.
Samsung Electronics reported an estimated operating profit of 9 trillion won ($1 approximately 1,090 won) in the fourth quarter of 2019, up 25.7 percent year on year. The semiconductor business is an important source of revenue and profit for the company, including display panels and LED chips.
At present, some LED chip manufacturers have raised the chip prices of non-core customers and low-margin products, which is estimated to increase by about 5~ 10%.
In addition, due to the accident at the factory of Sintek last month, the production of 400,000 pieces of PSS was halted, prompting a 5 ~ 10% price increase of key upstream materials such as sapphire and PSS, which will further aggravate the phenomenon of chip price shortage.
In order to avoid the phenomenon of raw material price rise and shortage after the Spring Festival, downstream manufacturers have begun to actively stock up. Small and medium-sized customers who buy less will be the first to see prices rise for some products that are already out of stock. The first-line customers with more flexible bargaining power need to accept the delivery time of more than 2 months if they do not accept the price increase!