Strong demand for PCBs and IC substrates is sending suppliers increasing capacity, which in turn is extending order visibility at equipment suppliers to second-half 2022. And shortage of ABF substrates for notebook processors are expected to widen. Rising foundry costs amid tight supply are expected erode IC designers' profits, as their customers are now relutant to accept further price increases.

PCB and IC substrate equipment makers see order visibility extended to 2H22: Taiwan-based equipment suppliers engaged in the PCB and IC substrate sectors have seen order visibility extended to the second half of next year, thanks to their clients increasing capital investments in capacity expansions, according to industry sources.

Shortage of ABF substrates for notebook processors to widen in 2022: In the notebook processor supply chain, ABF substrates will be among certain components that will see shortage widen in 2022, which may tighten supply of notebook processors affecting notebook shipments as a result, according to industry sources.

Taiwan IC design houses brace for profit erosion: Taiwan-based IC design houses particularly second-tier players are poised to see their profits eroded by rising foundry costs in 2022, as their customers are increasingly reluctant to accept higher prices, according to industry sources.

By DIGITIMES