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Outlook for semiconductor sector optimistic until Q2
2010/03/16 19:47:26 |
Taipei, March 16 (CNA) The outlook for the semiconductor industry will remain optimistic until at least the second quarter of this year, an official of the Global Semiconductor Alliance (GSA) said Tuesday.
However, GSA Chairman Nicky Lu said, the outlook for the second half of the year will hinge on whether orders of logic fab are normal or not.
Lu, who is also chairman and CEO of Etron Technology, a fabless IC design and product company, also predicted in the GAS conference that the RAM market will boom until 2011.
Meanwhile, Frank Huang, chairman and CEO of Powerchip Semiconductor Corp., said on the sidelines of the conference that supply in the DRAM market is tight and that the situation could continue until the second half of the year because the sector will face many bottlenecks, which will limit output increase.
Huang noted that a global DRAM sector oversupply began in 2006, which he said was attributed to the world's loosened monetary policy, resulting in overinvestment by DRAM businesses.
Later, however, when many nations began to tighten credit, Huang went on, the DRAM sector became a lot more cautious in its investment, leading to a general tightening of supply that is still apparent today.
Huang added that if the price of 1Gb of DRAM can maintain a range between US$2.5 and US$3, it will be a reasonable level, but if the price breaks US$3, it will put pressure on computer factories. (By Chang Chien-chung and Lilian Wu) ENDITEM/J
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