Is The Semiconductor Crisis Beginning Now? Silicon Wafer Prices fall in 3 years

The price of silicon wafers, essential for the production of semiconductors, has reportedly fallen.

According to a report by Taiwan’s Economic Daily, this is the first time in three years that news of a price drop in the silicon wafer market has been reported.

Although the price drop is mainly driven by the spot market, it also affects the number of long-term contracts, so some are said to have postponed their purchases in the first half to the second half.

As the customer utilization rate dropped sharply in 4Q, inventory was forced to increase, and as a result, inventory has already accumulated at a 5-6 month level.

Thanks to this, the spot price, which is sensitive to market conditions, has fallen. At the moment, only 6-inch wafers have been hit, but it is said that there is a high possibility that the price of 12-inch wafers will -inch, which is the flagship size, is going down as some customers are asking for a price cut.

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