Japan's earthquake may increase global chip sales revenue by 7%

Research firm IHSiSuppli said that due to the Japan earthquake, which has driven the price increase after the supply of memory chips in the country has been reduced, global semiconductor sales revenue is expected to increase by 7% to US$325 billion in 2011.

Comprehensive media reported on April 6th that the research institute IHSiSuppli said that due to the high price of computer memory chips pushed by the March earthquake in Japan, global semiconductor sales revenue in 2011 may increase by 7% to US$325 billion.

IHSiSuppli raised its global chip sales revenue forecast for 2011 to US$325.2 billion. The agency’s forecast for February was an increase of 5.8% to US$322.1 billion.

IHSiSuppli predicts that dynamic random access memory (DRAM) chips are most affected by unexpected price increases. It expects sales of DRAM chips to decrease by 4% in 2011, before the agency's forecast for a 10.6% decrease.

IHSiSuppli's DRAM and Memory Leads (0)(0) Comment This Article Other Comments Related Topics Related Information Financial Information Forum Please enter the verification code analyst Howard Howard ("Mike Howard"): "The earthquake will cause global DRAM sales in March and April. The amount is reduced by 1.1%."

The agency said that the average price of DRAM contracts could rise by up to 2% in April, compared to the previous forecast of a 3-4% drop. In addition, pricing pressure should be eased in the second half of the year.

More than one-third of the world's NAND flash memory chips are supplied by Japan. The chips are mainly used in tablet computers and smart phones. In addition, Japan also supplies 14% of the world's DRAM chips. Japan is the world's largest producer of silicon wafers and accounts for about 60% of global supply.

After the earthquake and tsunami struck, production of the largest silicon supplier, the SHINETSU plant, has been reduced. The company accounts for 20% of global silicon wafer production.