01. MLCC Price Surge Spreads, Memory Shortages Drive Up End-Market Costs
On August 4, Jiemian News reported that Samsung Electro-Mechanics has announced a 30% price hike across its entire MLCC lineup. Taiyo Yuden is set to follow suit in September, while Murata and Yageo have already implemented increases, signaling a full-blown escalation in passive component pricing. Compounding the pressure, memory shortages have reportedly pushed MacBook Air M5 deliveries back to late August, while Apple's iPhone is rumored to see a $100–$200 price increase. Industry analysts project Q3 DRAM prices to rise 8–13% quarter-over-quarter, with AI computing demand continuing to strain memory supply. The current pricing cycle is expected to extend through 2027.
02. Pre-emptive Stocking Lifts Display Driver IC Q2 Earnings
On August 5, Novatek and Raydium posted strong second-quarter results. Novatek saw growth across all three major product lines, with gross margin climbing to 42.4% and EPS reaching NT$10.4, an 11-quarter high. Raydium benefited from OLED DDI pull-in demand, with revenue surging 25.4% quarter-over-quarter; however, incomplete cost pass-through pushed gross margin down to 25.7%, with EPS at NT$4.53. The second half of the year faces risks from inventory digestion following early stocking, alongside continued cost inflation.
03. MCU Prices Rise 10–20%, Reflecting Foundry Cost Pressure
On August 3, SemiMedia reported that Holtek Semiconductor has announced across-the-board price increases of approximately 10–20%, its first comprehensive hike since the pandemic. The move reflects sustained rises in wafer foundry costs (primarily from partner UMC) and packaging expenses, with adjustments taking effect from the second half of this year into next. The company stated it had absorbed portions of the cost increase during the first half but was forced to raise prices to preserve gross margins, rather than to expand profits. Current order visibility stands at roughly six months, with production lead times extending to six to eight months. Revenue impact is expected to materialize starting Q1 2027.
04. DRAM Capacity Expansion Accelerates as Nanya Tech Launches Fab 5A
On August 6, multiple Taiwanese media outlets reported that Nanya Technology has revised its 2026 capital expenditure upward to NT$69.7 billion (from NT$52 billion) and unveiled plans to invest up to NT$346.6 billion between 2026 and 2029 to build its new Fab 5A, marking the largest investment in company history. The new fab will adopt EUV lithography and focus on 10nm-class DRAM, with wafer starts expected in the second half of 2027 and monthly capacity reaching 35,900 wafers by 2029. The expansion is driven by AI server demand, though with global suppliers simultaneously adding capacity, new output post-2027 could intensify supply-demand dynamics.
05. Wistron's AI Server Momentum Strong; Plans GDR to Raise NT$45 Billion
On August 4, Wistron said at its investor conference that AI server demand remains robust, noting that new products including Vera Rubin have secured additional customers. Shipments are expected to outperform in the second half versus the first, with orders continuing to climb through the first half of 2027. To fund expansion and inventory buildup, the company plans approximately NT$13.5 billion in new global capex and intends to issue up to 250 million GDR shares to raise at least NT$45 billion. Separately, Wistron will invest NT$3.967 billion to establish an AI computing center in Tainan.
06. DRAM Shortage Disrupts TSMC Packaging, Apple A20 Pro Reportedly Stalled
On August 7, Economic Daily News reported that industry sources indicate TSMC is holding approximately $1 billion worth of Apple's A20 Pro processors (built on 2nm process technology) but cannot proceed with WMCM packaging due to DRAM shortages, potentially affecting iPhone 18 series preparations. Apple relies primarily on Micron, SK Hynix, and Samsung for memory supply.
Although assembly partners remain confident in meeting initial launch demand with less than six weeks until the product unveiling, concerns are mounting over extended delivery timelines for online orders. Industry analysts note that with high-performance computing applications now surpassing consumer products in priority, the DRAM shortage's overall impact on TSMC remains limited.