With the increase of inventory pressure, MediaTek began to reduce the amount of chips
Time:2022-07-26
Views:1839
According to Taiwan media reports, with the decline in demand for consumer electronic products such as smartphones and TVs, MediaTek, a major chip design company, recently began to increase inventory de stocking efforts, including reducing the amount of chips cast in wafer foundries outside TSMC. However, the reduced orders were not cancelled, but required that the time of chip casting be postponed, and that the packaging and testing plants cooperate to adjust production arrangements, including the suspension of production of old product packaging and testing, And temporarily consign the wafer inventory to the packaging and testing factory, and reduce the load of new products for packaging and testing production, and prolong the delivery time.
According to the report, although TSMC‘s production capacity remained tight in the second half of the year, other wafer foundries have faced pressure from customers to repair consumer electronic chips. According to industry news, MediaTek has begun to adjust the wafer production in the second quarter in order to reduce inventory. Although there was no order cutting action to cancel the wafer production based on the consideration of signed long-term contracts or adjusted costs, in May, it had asked wafer manufacturers other than TSMC to reduce the wafer production first. Orders that should have been put into production in the second quarter but did not enter the production process were postponed.
According to the report, although TSMC‘s production capacity remained tight in the second half of the year, other wafer foundries have faced pressure from customers to repair consumer electronic chips. According to industry news, MediaTek has begun to adjust the wafer production in the second quarter in order to reduce inventory. Although there was no order cutting action to cancel the wafer production based on the consideration of signed long-term contracts or adjusted costs, in May, it had asked wafer manufacturers other than TSMC to reduce the wafer production first. Orders that should have been put into production in the second quarter but did not enter the production process were postponed.
Although MediaTek has reduced the amount of chips in the wafer foundry in advance in the second quarter, it has failed to effectively reduce the inventory level, and the inventory turnover days at the end of the second quarter are expected to reach a new high. According to the industry news, under the circumstance that the CEO of MediaTek Cai Lixing asked the production management unit to put forward specific measures, MediaTek recently began to increase its efforts to eliminate inventory and asked the sealing and testing factory to cooperate in production adjustment.
The packaging and testing industry pointed out that MediaTek had stored wafers in the wafer bank in the second quarter, and the orders in the packaging and testing plant decreased, but the range was not large. However, since last week, MediaTek has strongly requested the seal testing factory to reduce the load before the end of August, including the suspension of the seal testing production of old products, the placement of wafer inventory in the seal testing factory, and the resumption of production and delivery time will be notified separately. However, the production of new products is maintained in the sealed test, but the load is required to be reduced and the shipment is delayed. That is to say, the quantity that originally completed the sealed test and shipment from now on to the end of August has been changed to complete the sealed test and shipment from now on to September or October.
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