As 5G and Wi-Fi 6 are becoming the mainstream specifications for the IT market in 2021, Taiwan's III-V IC companies are expected to maintain a high utilization in the year. Server shipments are also anticipated to grow strongly in 2021 thanks to the releases of Intel's 10nm Ice Lake Xeon server processors and brisk demand from cloud applications. As demand for IT products remains robust, DRAM continues to suffer from shortages in 2021 with makers having already raised the prices of the products as a response.
III-V IC players enjoy high capacity utilization for 5G, Wi-Fi 6 applications: Taiwan's III-V IC firms including GaAs foundries Win Semiconductors and Advanced Wireless Semiconductor (AWSC) as well as epi-wafer suppliers Visual Photonics Epitaxy (VPEC) and Intelligent Epitaxy Technology (IntelliEPI) are expected to sustain high capacity utilization in 2021, as 5G handset sales and Wi-Fi 6 wireless communication applications are on track to grow robustly, according to industry sources.
Server makers turn optimistic about 2021 on Intel new processors: With Intel ramping up its 10nm Ice Lake Xeon server processor output, Taiwan's server makers have turned optimistic about their shipment prospects for 2021 and may embrace the strongest-ever first quarter in the year also bolstered by continued strong demand for cloud applications, according to industry sources.
DRAM prices to rise through 2Q21: DRAM contract market prices have risen 5-10% in the first quarter of 2021, and will continue their rally in the second quarter, according to sources at memory module makers.
