Silicon wafers will rise in price by 20% this year 2018

Last November SUMCO, one of the world's largest silicon wafer producers, announced that it planned to increase prices by 20 percent this year. Now, it appears that other silicon wafer manufacturers are joining the initiative, so prices will rise by 20 percent this year.

It is confirmed that silicon wafers will rise in price by 20% and with it all components will be more expensive

SUMCO is a Japanese company and is responsible for more than 60 percent of the world's supply of silicon wafers. With a 20 percent price increase, the manufacturers of CPUs, GPUs, DRAMs and Flash will have no choice but to raise the prices of their products, which are already quite inflated at the moment. GlobalWafers President Doris Hsu informed shareholders that the company will increase the prices of silicon wafers by 20 percent this year.

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The main reason for this price increase is the shortage of 12-inch, 300mm wafers, which are traditionally those used to build processors, graphics chips, and RAM. Last year, SUMCO estimated that global wafer demands will increase to 6.6 million per month by 2020. We will see an increase in production, but it seems that it will not be enough to cover demand, so we are going to be stuck with price increases.

It was thought that this year 2018 we would finally see a decrease in hardware prices but, unfortunately, it seems that the situation will continue to worsen throughout this year and the next.

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