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OSATs remain cautious about handset IC demand

Taiwan-based OSATs including ASE Group remain cautious about handset mobile phone IC demand in 2023 despite the emergence of short lead-time orders.

Customers remain hesitant about more advanced processes; academia needs to solve cost and yield rate issues

Although TSMC s 3nm process has already achieved mass production, its capacity utilization rate is not yet filled. Chen Liang-chia, a distinguished professor of the mechanical engineering department at National Taiwan University (NTU), stated that more advanced processes have extremely high production costs, and yield rates are also an issue. To address these issues, Chen mentioned a better through-silicon via (TSV) technology developed by his team that could be one of the solutions.

OSATs continue to cut prices to maintain utilization rates

Leading Taiwan-based OSATs including Powertech Technology (PTI) and ASE Group are reducing prices amid ongoing cost pressures, according to industry sources.

Automotive market disrupted by three major environmental factors; low-end chips pressured but high-end CIS holds strong

Although automotive chips are relatively stable in the semiconductor supply chain, the uncertainty of the overall economic environment has already impacted the purchasing power of the automobile market. Taiwan-based power component foundries and OSATs (outsourced semiconductor assembly and test) all pointed out that mid- to low-tier chip prices have already begun to face pressure.

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