Korean Media: Chinese Manufacturers Resist Samsung Electronics' Q3 Semiconductor Price Hike Proposal!
On August 22, South Korean media outlet News1 published an article stating that Chinese smartphone manufacturers OPPO and vivo have rejected Samsung Electronics' proposal to raise prices for storage semiconductors in the third quarter.
According to reports, the proposed price increase for storage semiconductors by Samsung Electronics in Q3 was significantly slower compared to the first and second quarters. However, sources indicate that both companies ultimately decided not to accept this price hike proposal.
Analysts believe that OPPO and vivo's refusal reflects strong resistance from downstream manufacturers—including smartphone makers—against so-called "chip inflation" (the ongoing rise in storage semiconductor prices).
Faced with sustained price increases and memory costs soaring to record highs, manufacturers are refusing further price hikes and unwilling to bear the mounting memory costs any longer.
Nevertheless, analysts note that although smartphone manufacturers have taken this kind of "resistance" action, the shortage of memory semiconductors is unlikely to be resolved in the short term.
Experts predict: "Even if manufacturers like OPPO and vivo voluntarily slow down their acquisition of storage semiconductor inventory and reduce their stock levels, the market situation where demand for mobile storage semiconductors exceeds supply will remain unchanged."
This is because, with the surge in demand from the artificial intelligence industry, semiconductor production capacity originally allocated to electronics such as smartphones has been redirected toward manufacturing AI-related products.
Original Source: toutiao.com/article/1874223702894603/
Disclaimer: The views expressed in this article are those of the author(s) personally.