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200mm Demand Drop to Ease Delivery for Mature Node Chips

Published: 10.11.2023

According to a new report by TrendForce, 200mm wafer demand is expected to drop by 50% to 60% as integrated device manufacturers (IDMs) open new fabs. This will ease delivery for chips developed at mature nodes, which have been hindering growth in a variety of industries, particularly automotive and white goods, and delaying time to market.

There are multiple underlying factors driving the expected drop in 200mm demand. One is decreasing demand in China, which is a major consumer of 200mm wafers. China's economy has been floundering in recent months, and this is having a negative impact on demand for a variety of products, including semiconductors.

Another factor is the increasing supply of 200mm wafers. A number of new 200mm fabs have come online in recent years, and this is expected to continue in the coming months. As a result, the supply of 200mm wafers is expected to outstrip demand, leading to a drop in prices.

The drop in demand for 200mm wafers is good news for companies that have been struggling to get their hands on mature node chips. These chips are used in a wide range of products, from cars and refrigerators to smartphones and computers. The shortage of mature node chips has been a major constraint on the growth of many industries.

The automotive industry has been hit hard by the chip shortage and automakers have been forced to cut production and raise prices as a result. The white goods industry has also been affected. Manufacturers of appliances such as refrigerators and washing machines have also been forced to cut production.

The drop in demand for 200mm wafers should help ease the chip shortage and improve delivery times for mature node chips.

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