TSMC is raising prices for chip production, followed by Samsung. We are waiting for a rise in the price of equipment

World's largest chip supplier TSMC (Taiwan Semiconductor Manufacturing Company) announces significant price increases

for the production of semiconductor products.

How serious is it?

So, advanced manufacturing processes (7nm and below)will rise in price by 10%. For example, they are used by AMD for Ryzen and EPYC processors, Qualcomm for Snapdragon chips and Apple for Silicon in iPhone, iPad and Mac. At the same time, 16-nm and thicker technical processes will increase in price by 20%. As a result, the cost of one plate with 28-nm microcircuits will be as much as 3 thousand dollars.

Considering that 56% use TSMC servicesof the world semiconductor market, an increase in the price of mobile SoCs, microcontrollers, GPUs, etc., and with them - ready-made gadgets is obvious. So, analysts predict that because of this, Apple will raise prices for a new line of iPhone 13 smartphones.

The tariffs will take effect from December 2021.

Who else?

Samsung Electronics is expected to raise pricesfollowing TSMC. Businesses are pushing up prices due to strong demand, which reduces profitability, as it takes a large amount of investment to expand existing production facilities, according to the report. "Samsung's production line is so full that it has outsourced some of its Galaxy processors," analysts said.

In addition, other Taiwanese companies intend to raise prices for their products - PSMC and UMC, the American GlobalFoundries, and the Chinese SMIC.

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