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Price of silicon wafer rising sharply

Prysin
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Price of silicon wafer, which is one of raw materials for semiconductor, shot up by 20% compared to its price from last year and this is causing amount of supplies to not be able to keep up with increased demands. As SK Siltron (previously LG Siltron), which is the only South Korean wafer manufacturer that was acquired by SK Group from LG Group, is also facing lack of supplies, it is expecting positive performance this year such as making $893 million (1 trillion KRW) in annual sales again this year.
SUMCO, which is a Japanese silicon wafer manufacturer, recently announced forecast of its performance for fourth quarter and estimated that price of 300mm wafer will be at least 20% higher than that from fourth quarter of last year. SUMCO is a leading silicon wafer manufacturer that is accounted for two-thirds of global silicon wafer markets along with Shin-Etsu Chemical.

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“We are also planning to increase price of silicon wafer by 20% in 2018.” said CEO Hashimoto Mayuki of SUMCO. “Price of silicon wafer will continue to rise in 2019.”

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On the other hand, silicon wafer industries are limiting themselves from making extensions of their facilities as price of silicon wafer can fall once they increase amount of supplies
Price of silicon wafer will continue to go up as wafer industries will continue to show lukewarm stance towards extensions.”

 

 

It's official guys, time to find a new hobby. Enthusiast grade PC will get more and more and more expensive, as the price of silicon wafer increases, this has a snowball effect down the supply chain (shipping insurance rises, margins must widen etc)... expect DRAM, CPUs and GPUs to rise in price even faster.

 

 

 

Source: http://english.etnews.com/20171114200001

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So anything tech related is going to soon be even more expensive than it already is. Well crap 

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Just now, silentprototipe said:

So anything tech related is going to soon be even more expensive than it already is. Well crap 

quite a bit more. With such an increase, i expect DRAM in particular to rise by another 30-50% in 2018 over todays prices... CPUs will have a bit less dramatic bump. GPUs, especially big monolithic designs like nvidias Titan, Tesla, Quadro and 1080Ti will definetively increase by another 30-50$ base MSRP if not more

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1 minute ago, Dissitesuxba11s said:

And here I was thinking that GPU prices were slowing going back to MSRP.

oh, sure they are, but the MSRP are going up.

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Yea but what fraction of the final cost is the raw silicon? If it takes 1$ worth of silicon for a $300 CPU then a 20% increase is only $0.20... not a huge factor.

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Are you getting weird fan behavior, speed fluctuations, and/or other issues with Link?

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1 minute ago, Prysin said:

quite a bit more. With such an increase, i expect DRAM in particular to rise by another 30-50% in 2018 over todays prices... CPUs will have a bit less dramatic bump. GPUs, especially big monolithic designs like nvidias Titan, Tesla, Quadro and 1080Ti will definetively increase by another 30-50$ base MSRP if not more

Well crap then, so much for me getting a new rig 

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Just now, Prysin said:

oh, sure they are, but the MSRP are going up.

What I've noticed might just be the holiday prices. I've seen some 1080 TIs on sale around $700 USD.

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Whoa, not good news! I'm glad I built my 7700k@5Ghz + Ti system a few months back, looks like it's gonna have to last a while!

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inb4 start blaming miners -_-

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Just now, Captain Chaos said:

Woah, 10 replies and nobody blamed miners yet? 

 

A friend of mine is looking into upgrading his PC.  Guess he shouldn't wait too long then.

OFCOURSE, its all the miners fault. THEY ARE TOO SLOW.

if only they had mined more silicon, this wouldnt have happened

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37 minutes ago, Prysin said:

OFCOURSE, its all the miners fault. THEY ARE TOO SLOW.

if only they had mined more silicon, this wouldnt have happened

Everything will be fine once they turn 18. :ph34r:

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Ugh, that just sucks. Literally every component will eventually get price increases. 

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3 minutes ago, TidaLWaveZ said:

Everything will be fine once they turn 18. :ph34r:

Yes, I know the difference between minor and mine.

they're fine by 16 here, and soon, france will set a limit of 13...

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What is causing this supply shortage, it's not like we're running out of the raw materials.... seems like BS to me

 

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On the other hand, silicon wafer industries are limiting themselves from making extensions of their facilities as price of silicon wafer can fall once they increase amount of supplies
Price of silicon wafer will continue to go up as wafer industries will continue to show lukewarm stance towards extensions.”

Did they just admit to not wanting to produce more so that they can keep the price higher?

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1 minute ago, Swatson said:

What is causing this supply shortage, it's not like we're running out of the raw materials.... seems like BS to me

investors wanting maximum profit

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6 minutes ago, Swatson said:

What is causing this supply shortage, it's not like we're running out of the raw materials.... seems like BS to me

 

Did they just admit to not wanting to produce more so that they can keep the price higher?

It would appear that way.

 

It also seems as though they all agreed to the same increase in price.

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7 minutes ago, Prysin said:

investors wanting maximum profit

this is why investors need to not be part of a corporate hierarchy.

 

It's always investors screwing over consumers from micro-transaction loot boxes to now price gauging silicon wafer customers and consumers.

Judge a product on its own merits AND the company that made it.

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13 minutes ago, Dylanc1500 said:

It would appear that way.

 

It also seems as though they all agreed to the same increase in price.

Is price fixing still illegal when it's done by companies in different countries, how does one even try to fight against that....

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12 minutes ago, Swatson said:

Is price fixing still illegal when it's done by companies in different countries, how does one even try to fight against that....

I honestly couldn't tell you. I assume they could halt import for not conforming to U.S. Law but I'm not well versed in import laws and sanctions. One of the mods was pretty knowledgable in this area but I don't remember whom.

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35 minutes ago, Prysin said:

.

Conspiracy Theorist in Me: You know it might just be coincidence that you (with that profile pic) reported this, but Trump just got back from his Asia trip. Maybe something went down that rocked the material pricing.

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