01. Q1 MLCC Market Polarization: AI Ignites High-End Demand, Consumer Electronics Faces Cost Winter
On February 5, TrendForce reported that the global MLCC market in Q1 is characterized by "AI hot, consumer cold." Physical AI applications (robots, smart glasses, etc.) are driving demand for 01005 micro-capacitors, with Japanese manufacturers such as Murata and SEMCO running at full capacity for high-end production, seeing order growth exceeding 20% quarter-over-quarter. Meanwhile, mid-to-low-end smartphones and laptops face weak seasonal demand combined with rising raw material costs, with inventory levels reaching 60–75 days. Copper and silver costs have pushed bead inductor and resistor prices up 15–20%; MLCC prices remain stable due to lower copper content. The magnetic pull of AI is squeezing memory and PCB resources, leaving brand manufacturers caught between component shortages and price hikes—yet end-market price increases have failed to dampen buying enthusiasm.
02. Driver IC Foundries Lead Price Hikes, 8-inch Power Components to Follow in March
On February 5, PSMC announced at its online investor conference that structural imbalances in memory foundry capacity are pulling logic foundry services out of the trough: driver IC and sensor prices were raised starting in January, with 8-inch power component foundry quotes set to increase again in March. The company noted that high-end AI servers are crowding out consumer-grade mid-to-low-end products, boosting DDR3/4 demand with supply gaps likely extending into H2. SLC NAND and NOR Flash prices are climbing, and with customer qualifications complete, further volume growth is expected this year. Additionally, its partnership with India's Tata Electronics remains unaffected by the sale of its Tongluo fab, with cumulative revenue of $143 million already booked; both parties will jointly develop the logic foundry market.
03. MOLEX Announces February Price Adjustments, Citing Rising Metal Costs
On February 4, SemiMedia reported that global electronic component leader MOLEX announced price adjustments for select products effective February 1. The company stated that despite continuous operational optimization and internal cost absorption, rising metal prices used in manufacturing have made price increases necessary to ensure the continued delivery of high-quality products and services. The magnitude of adjustments will vary by product category and material composition. MOLEX pledged to work closely with customers to minimize impact. Against the backdrop of surging precious metal prices, the connector industry is broadly under pressure—TE Connectivity has already raised prices twice recently, highlighting the supply chain's challenge in balancing cost and quality.
04. Intel Warns: Memory Shortages Could Persist Until 2028
On February 5, Intel CEO Lip-Bu Tan warned at the Cisco AI Summit that rapid AI infrastructure expansion continues to squeeze PC and mobile memory supplies, with global storage tightness "likely extending through at least 2028." Data centers have absorbed most new capacity, with some product prices soaring and dampening consumer electronics demand. In response, Intel has partnered with SoftBank-backed Saimemory to jointly develop Z-Angle Memory (ZAM) for AI servers, featuring a vertical stacking design. The prototype is targeted for completion by March 2028, with commercialization planned for FY2029, aiming to become an alternative to HBM.
05. Oracle Pours Money into Computing Power, Optical Communication Sector Rides Upgrade Wave
On February 3, Economic Daily reported that Oracle plans to raise $45–50 billion through bond issuance and stock sales to expand computing capacity and upgrade data center network specifications, driving demand for high-speed optical communications. Taiwanese suppliers, including UMCORE and LandMark Optoelectronics, are positioned to benefit. Oracle's AI computing centers have already heavily adopted 800G optical modules, with UMCORE serving as a primary AOC supplier since 2024 and expecting significant shipment growth this year.
06. Tight Memory Supply: HP and Other PC Giants Reportedly Consider Chinese Chips
On February 6, CNA cited foreign media reports that global memory chip shortages have led HP, Dell, Acer, and ASUS—the four major PC brands—to evaluate Chinese suppliers for the first time. Nikkei Asia noted that HP has initiated qualification of CXMT DRAM, with plans to procure for non-US markets by mid-2026 if supply remains tight; Dell is conducting parallel qualifications. Acer expressed openness if mainland contract manufacturers adopt domestic memory, while ASUS has requested mainland partners to assist with sourcing for laptop projects. AI demand is squeezing traditional DRAM capacity, with the three major original manufacturers prioritizing data center shipments—leaving PC vendors with less than 10% market share and weak bargaining power. The dual risks of price hikes and supply disruptions are forcing supply chain diversification.