Prices for 12-inch blank silicon wafers are set to continue rising, driven by robust demand from foundries and memory chipmakers, according to industry sources.
Wafer suppliers are mulling adjusting upward their contract quotes for 12-inch blank wafers for the second quarter of 2017 by another 15%, the sources said. Prices, which started to rise in the first quarter, are set to continue their rally through the end of 2017, the sources indicated.
TSMC has reserved more available epitaxial wafers to satisfy demand for 10nm chips from its mobile device customers, mainly Apple, the sources identified. The foundry is gearing up for mass production of 10nm process technology in 2017.
Demand for 12-inch silicon wafers is also booming in China, where local and international chipmakers have unveiled new 12-inch fab investment projects, the sources said.
Meanwhile, major memory vendors including Samsung Electronics and Micron Technology reportedly intend to encourage their wafer suppliers to produce more polished wafers by voluntarily paying higher prices, the sources noted. Samsung, Micron and other major flash chipmakers are transitioning to 3D NAND.
The world's available 12-inch blank silicon wafers is estimated at 5.2 million units per month, with the top-5 suppliers already operating at full capacity, the sources said. Taiwan-based Formosa Sumco Technology and GlobalWafers' combined capacity accounts for about 20% of the worldwide capacity, with FST capable of producing 280,000 wafers per month, and GlobalWafers' 750,000 units.
