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Two major IC packaging/testing providers based in Taiwan, Advanced Semiconductor Engineering (ASE) and Siliconware Precision Industries (SPIL), signed a joint share-exchange memorandum of understanding on May 26 to establish a new holding company. According to the memorandum, each common ASE share will be swapped for a 0.5 share of the holding company, while each common SPIL share will be sold to the holding company at a price of NT$55.
In the mainstream PC-Client OEM SSD market for the second quarter, the average contract prices of TLC- and MLC-based products respectively fell 4~11% and 6~10% compared with the prior quarter, according to DRAMeXchange, a division of TrendForce. Looking ahead to the third quarter, the overall supply-demand situation in the NAND Flash market may become more balanced.
In the first quarter of this year, the average contract price of NAND Flash chip fell by about 10% compared with the previous quarter due to persistant market oversupply. During the same period, the prices of eMMCs and Client-SSDs also dropped 13~18% quarterly as a result of steep decline in shipments of smartphones, tablets and notebooks.
DRAMeXchange, a division of TrendForce, reports that the global DRAM industry posted US$8.56 billion in revenue in this first quarter, down 16.6% from the previous quarter. Market oversupply and sliding average selling price were the main culprits behind the revenue decline.
The Chinese government officially released the 13th Five-Year Plan this March. In this broad national economic roadmap, two initiatives – the upgrading of modern industries and the expansion of the country’s Internet economy – will have significant influence over the development of the Chinese fabless IC design industry.
