Price increase of ADI and Silicon labs

  
 Price increase of ADI and Silicon labs

Since the beginning of this year, notifications of major semiconductor manufacturers' price increases due to increased costs seem to have become the norm in the semiconductor industry. Under the "chip shortage", some chips can be described as "hard to find a chip."

According to media reports, Analog Devices Inc. (ADI) will implement price increase measures from December 5, 2021, under the pressure of all-round price increases in the supply chain. The price increase is only for some products, including some of its Maxim products will increase prices again, and products that are not included in the scope will be implemented at the original 6% price increase.

ADI said that they have experienced cost increases in all areas of the supply chain, especially the cost of wafer manufacturing, so they decided to pass on part of the cost by increasing product prices.

Silicon Labs also announced the price increase notice on the same day, which will increase the pricing of all its product lines starting on November 28, 2021. The increase is unknown. The reason for the price increase is still the cost increase brought about by the capacity crisis.

In addition, it is worth noting that the supply chain has revealed that WiFi chips are in short supply, and MediaTek’s October product prices have increased by 20%. Recently, the demand for the WiFi market has increased, and the demand for chips has also increased significantly.

The supply chain believes that the price increase of Netcom chips is mainly constrained by insufficient production capacity of mature processes, resulting in a shortage of WiFi chips.