News & Events

Car chip vendors seek long-term deals with foundries

The car industry used to keep lean inventory, but automotive chip vendors have now been striking long-term deals with foundry houses in order to secure supply for the next two years. Thanks to priority supply from foundry houses, automotive chip shortage is easing. Digitimes Research believes that notebook chip and component supply will also improve in fourth-quarter 2021. For mobile chip vendor MediaTek, 2021 will mark another year of record sales.

Taiwan foundries strike 2022, 2023 orders for automotive chips: IC foundries including TSMC, United Microelectronics (UMC) and Vanguard International Semiconductor (VIS) have signed supply contracts with their automotive customers for orders set to be fulfilled in 2022 and 2023, which is quite unusual for the car industry due to its "just-in-time" and single-sourcing nature of operations, according to industry sources.

Notebook chip and component shortage to improve in 4Q21: The ongoing shortage of notebook-use chips, panels and other components is expected to improve substantially in the fourth quarter of 2021, according to Digitimes Research.

MediaTek reiterates high revenue, gross margin projections for 2021: MediaTek has reiterated its revenue growth projection of over 40% for 2021 with overall gross margin to stay at 44-46%, and will dole out cash dividends of up to NT$58.844 billion (US$2.109 billion) allowing shareholders to share handsome profit gains in 2020.