$BTC I finished reading this one, and brothers, I really have to feel something—this round of price hikes in the semiconductor industry really is flying all over the sky. For example, in the storage sector like SanDisk and Micron, the DDR5 contract price jumped by almost 30% in just one quarter. Then, domestic analog and power design companies started raising their prices too, and their wording is all along the lines of “price increases affected by rising costs.” But where exactly did all that money go?
Looking at Semiconductor Manufacturing International Corporation (SMIC) and HuaHong Semiconductor’s Q2 reports, SMIC’s quarterly revenue directly broke 3 billion USD, and their utilization rate is also close to 100%. Honestly, this isn’t called “rising prices”—it’s more like production capacity is being pushed to its absolute limit. Brothers, the big guys running the fabs were the first winners.
We old retail investors watch the red-green lights in the crypto market and can’t quite make sense of the logic in this industrial chain, but just look at the data: under cost pressure, prices are passed along all the way, dead to rights. Isn’t this the same old playbook—shift the blame for costs onto your downstream, and in the end, the ones who make the money are the top-tier companies actually doing real manufacturing.
(Source: huxiu)
#MarketNews
Looking at Semiconductor Manufacturing International Corporation (SMIC) and HuaHong Semiconductor’s Q2 reports, SMIC’s quarterly revenue directly broke 3 billion USD, and their utilization rate is also close to 100%. Honestly, this isn’t called “rising prices”—it’s more like production capacity is being pushed to its absolute limit. Brothers, the big guys running the fabs were the first winners.
We old retail investors watch the red-green lights in the crypto market and can’t quite make sense of the logic in this industrial chain, but just look at the data: under cost pressure, prices are passed along all the way, dead to rights. Isn’t this the same old playbook—shift the blame for costs onto your downstream, and in the end, the ones who make the money are the top-tier companies actually doing real manufacturing.
(Source: huxiu)
#MarketNews