01. HDD demand is outpacing supply and customers have reported order processing delays
Sluggish demand and inflated inventories have dominated the landscape for the HDD market since the onset of 2023. Even with higher capacity 16TB to 18TB HDDs experiencing spot demand, pricing has steadily decreased.
To strategically alleviate inventory pressure, Seagate, Western Digital, and Toshiba reduced production across all HDD lines. By July, these strategies showed signs of helping to digest excess, as competition for the limited availability increased demand.
Now that there is an imbalance between supply and demand, with demand outpacing supply, Seagate customers have reported order processing delays.
02. GPU shortage curb AI server shipments
ODMs including Quanta Cloud Technology (QCT), Wiwynn, and Giga Computing have experienced delays in fulfilling AI server orders due to the ongoing GPU shortage at Nvidia, according to industry sources..
03. Global Semiconductor Sales up 4.7% in Q2 Compared to Q1
August 7, 2023, According to the Semiconductor Industry Association (SIA), worldwide semiconductor sales totaled $124.5 billion in the second quarter of 2023, up 4.7% from the first quarter of 2023 but down 17.3% from the second quarter of 2022. Global sales in June 2023 were $41.5 billion, up 1.7% month-on-month.
04. Samsung reportedly to further reduce DRAM production with 2H23 demand recovery unlikely
Although major global memory manufacturers are actively implementing production cuts to suppress the ongoing decline of DRAM and NAND Flash prices and to reduce inventory, the overall market demand outlook remains bleak.
05. India’s Wearable Market Posted a Strong First Half of 2023
August 10, 2023, According to the International Data Corporation (IDC) India Monthly Wearable Device Tracker, the first half of 2023 registered a strong 53.3% YoY (year-over-year) growth shipping 57.8 million units in 1H23. Brands launched several smartwatch models in different shapes, designs, materials, finishes and with new features, resulting in 128.6% YoY growth. Smartwatch share reached 40.0%, up from 26.8% a year ago, while the earwear category grew 27.3% in 1H23.
32.8 million wearables shipped in 2Q23, a growth of 37.2% YoY and 30.6% QoQ (quarter-on-quarter). Smartwatch shipments almost doubled to 12.8 million in 2Q23, while the earwear shipments grew by 15.2% YoY. Notably, the average selling price (ASPs) of smartwatches declined by 44.9%, dropping to $25.6 from $46.6 in 2Q23. The overall wearable ASP in 2Q23 dropped to US$21.0 from US$26.7 a year ago.
Within the earwear category, TWS now has a record share of 65.5%, growing by 52.9% YoY, while neckbands declined by -22.5% in 2Q23. The ASP for neckbands and TWS stood at US$15.0 and US$18.7, declining by 6.4% and 15.3% respectively.
06. SMIC expands production despite geopolitical and macroeconomic challenges
Amid the subdued demands for consumer electronics and smartphones, the rising utilization rate recorded by Semiconductor Manufacturing International (SMIC), the largest pure-play foundry in China, may indicate its intention to grow amid geopolitical…
07. Rising Chinese mmWave radar industry spurs intense market competition
With the progress in intelligence and stricter vehicle safety regulations, carmakers are facing a surging demand for sensors. In Level 2 self-driving and beyond, the market for automotive mmWave (millimeter-wave) radar is witnessing intense competition. Recently, Chinese contenders have entered the mmWave market, focusing on advancing the 77GHz mmWave radar. However, they are also grappling with price competition, resulting in a reshaping of the market landscape.