The chips for WFH, such as computers, pads, and cell phones, have an inventory that is more than the market needs so you can say it is in a downturn period.
The chips for vehicles have been in scarcity for quite some time due to chip makers shifting and weighing more on WFH devices and less travel since the pandemic hits. However, the chip makers recently shifted back to vehicle manufacturers' demands, so we can expect more new vehicles rolling out of the door from carmakers in the months ahead.
The chips for AI, particularly from NVIDIA & AMD, demands are speeding up. A recent story: when the US announced export restrictions on AI chips to China in early June of this year, $NVDA dropped ~5% in premarket, NVIDIA CFO came out and said: export to China is approx. 20% NVIDIA revenues/ year, but the AI chips orders we currently have will take more than one year to be filled. Several semiconductor industry analysts said the same thing on the same day. Then $NVDA regained its momentum.
China's export restriction on Ga & Ge will take effect on August 2023, while The US chips and ASML export restriction will be applied on September 1, 2023.
There will be no winner in the trade war. 灭敌1000, 自损800 or 灭敌800, 自损1000. The chip prices will be going up and it is an inflation factor for sure.
PS: The applications of Ga & Ge in the technology industry:
Gallium is used in compound semiconductors, offering faster operation with lower power consumption or greater heat resistance, although it is harder for manufacturers to work with than silicon. Gallium nitride is already widely used in the chips that power 5G network base stations, as well as by the military in radar systems and, increasingly, in electric vehicle chargers. Gallium arsenide is used in some components for wireless communications and lasers.
Germanium, which was used to make the first transistors in the mid-20th century, is sometimes added in small quantities to silicon to facilitate more advanced chip structures. It is widely used in fibre-optic cables, solar panels and LEDs, as well as in thermal imaging cameras by the military.
The chips for vehicles have been in scarcity for quite some time due to chip makers shifting and weighing more on WFH devices and less travel since the pandemic hits. However, the chip makers recently shifted back to vehicle manufacturers' demands, so we can expect more new vehicles rolling out of the door from carmakers in the months ahead.
The chips for AI, particularly from NVIDIA & AMD, demands are speeding up. A recent story: when the US announced export restrictions on AI chips to China in early June of this year, $NVDA dropped ~5% in premarket, NVIDIA CFO came out and said: export to China is approx. 20% NVIDIA revenues/ year, but the AI chips orders we currently have will take more than one year to be filled. Several semiconductor industry analysts said the same thing on the same day. Then $NVDA regained its momentum.
China's export restriction on Ga & Ge will take effect on August 2023, while The US chips and ASML export restriction will be applied on September 1, 2023.
There will be no winner in the trade war. 灭敌1000, 自损800 or 灭敌800, 自损1000. The chip prices will be going up and it is an inflation factor for sure.
PS: The applications of Ga & Ge in the technology industry:
Gallium is used in compound semiconductors, offering faster operation with lower power consumption or greater heat resistance, although it is harder for manufacturers to work with than silicon. Gallium nitride is already widely used in the chips that power 5G network base stations, as well as by the military in radar systems and, increasingly, in electric vehicle chargers. Gallium arsenide is used in some components for wireless communications and lasers.
Germanium, which was used to make the first transistors in the mid-20th century, is sometimes added in small quantities to silicon to facilitate more advanced chip structures. It is widely used in fibre-optic cables, solar panels and LEDs, as well as in thermal imaging cameras by the military.
