[Core Information] DDR4 price increase will continue until the end of the year, ON Semiconductor enters NVIDIA 800V solution supply chain (2025-07-31)

1. Storage market: DDR4 price increases will continue until the end of 2025, and the supply and demand pattern will change

1. Price increase trend and core reasons

• price increase cycle: DDR4 spot prices continue to rise,At the end of July, 8Gb DDR4 reached US$3.9, a 50% increase from June, andSurpassing the price of DDR5 with the same capacity。
• duration: The industry expects the effect of price increasesExtended until the end of 2025, the starting energy in Q1 of 2026 will gradually weaken.
• core driver：
  • supply contraction: Samsung, SK Hynix, and Micron shift production capacity toHBM、DDR5, gradually withdrawing from DDR4, and the effective supply is significantly reduced.
  • demand rigidity: Industrial control, network communications, consumer electronics, etc.Unable to upgrade immediatelyof customers turned to new suppliers for verification, and terminals actively pursued orders.
  • Inventory low: Downstream manufacturers have not fully taken into account the production reduction expectations of major manufacturers.Stock levels are low, forced to rush for goods and push up prices.

2. Market influence and pattern changes

• price upside down: DDR4 spot priceBeyond DDR5 for the first time, breaking the industry convention that new generation products are more expensive.
• Domestic replacement window: Nanya, Changxin Storage, etc.fill supply gap, the share increased rapidly.
• DDR5 advancement：DDR5 usageGrowing quarter by quarter, starting from 2026, it will gradually dominate the market.

2. AI power supply: ON Semiconductor enters NVIDIA’s 800V solution supply chain, SiC becomes the core

1. Strategic cooperation: ON Semiconductor + NVIDIA, jointly promote 800V DC power supply

• Cooperation content: Jointly promoted by ON Semiconductor and NVIDIA800V DC (VDC) power supply architectureTransformation for the next generation of AI data centersSolid state transformers, power supply units, 800V power distribution and core power suppliessolution.
• Technology core: ON Semiconductor relies onSiC technology advantages, provideLow on-resistance, high power densitypower devices, integratedIntelligent monitoring and controlfunction.
• strategic significance: ON Semiconductor becomesA few can meet the stringent power supply needs of AI infrastructuresuppliers, mark theirSiC technology extends from cars to AI data centers, forming differentiated competition with Infineon and STMicroelectronics.

2. ON Semiconductor SiC strategic progress

• Capacity: SiC production lines in the United States, Czech Republic and ChinaFull production, SiC revenue share in 2025Over 25%。
• Customer: EnteredTesla, BYD, Xiaomi, NVIDIASuch as the supply chain of leading enterprises,Top three in the world in terms of market share。

3. OEM news: Samsung won Tesla’s $16.5 billion AI chip order and built a factory in the United States for mass production

1. Cooperation details (signed on 2025-07-26, disclosed on 2025-07-31)

• Contract amount：US$16.5 billion (KRW 22.8 trillion), accounting for approximately Samsung’s annual revenue7.6%。
• Cooperation period：July 24, 2025 - December 31, 2033, a total of 8 years.
• production base：SamsungNew plant in Tyler, Texas, USA, obtained the U.S. Chip Act$4.75 billion in subsidies。
• Products:For TeslaNext generation AI6 autonomous driving chipProvide OEM and adopt2nm/3nm advanced process。

2. Strategic value

• to samsung:Solve Taylor PlantLack of large customersdilemma, injecting into the foundry businessstable order, to help them inAdvanced processThe field is catching up with TSMC.
• vs tesla：Reduce dependence on TSMC, transforming the AI chip supply chain intoTarget the continental United States, to avoid geopolitical risks.
• Industry impact: Samsung relies onLogic + storage + packagingVertical integration advantages,Reshaping the global OEM landscape。

4. Flash memory technology: Kioxia’s ninth generation BiCS FLASH 512Gb TLC sample delivery, performance greatly improved

1. Product core parameters

• Craftsmanship: Based onFifth generation BiCS FLASHof120 layers stacked+ Advanced CMOS technology.
• Performance：
  • Write performance **+61%, read performance+12%**。
  • Write energy efficiency **-36%, read energy efficiency-27%**。
  • supportToggle DDR6.0interface, rate3.6Gb/s, the demonstration reaches4.8Gb/s。
  • Bit density **+8%**.

2. Application and mass production

• Application scenarios：Mid-to-low-end storage,Enterprise SSD, especially suitable forAI system GPU efficiency optimization。
• Mass production plan: **FY2025 (before March 2026)** Start large-scale mass production.
• strategic significance:Kai Xia passedCBA (CMOS Direct Bonding Array)technology balances cost and performance, consolidating3D NANDleading position in the field.

5. Other important information

1. MACOM completes the acquisition of new factories and focuses on microwave chips

• acquisition: Completed the acquisition of the North Carolina wafer fab and obtained the operating rights about 6 months in advance.
• Positioning:ProductionGaN on SiCRF power devices and MMICs forTelecom infrastructure, defense electronics。

2. Mainland China’s smartphone market: Q2 dropped 4% year-on-year, Huawei regained the first place

• Shipments: Q2 year-on-year **-4%**, the subsidy effect weakened at the beginning of the year.
• Ranking: Huawei (18%) > vivo (17%) > OPPO (16%) > Xiaomi (15%) > Apple (15%).
• Trend: Consumer electronics is weak, buthigh end marketDemand is firm.

3. Renesas launches RZ/G3E MPU, focusing on high-performance HMI

• Architecture: Quad coreCortex-A55（1.8GHz）+Ethos-U55 NPU, supports AI acceleration.
• interface:Dual full HD output,PCIe 3.0, USB 3.2, Gigabit Ethernet, suitable for industrial, medical, and retail HMI.

4. Goke Micro released GK7203V1, a multi-purpose IPC chip with light computing power

• Architecture：ARM A7+RISC-VDual core, integrated0.2T NPU。
• Advantages：Low power consumption, multi-view imaging, open NPU, provided for consumer-grade IPCReduce costs and increase efficiencyscheme.

5. Jinghe Integrated Layout Mask, increased investment in Anhui Jingmei

• action: Planned to cooperate with Hefei State Investment Corporation, etc.Capital increase of 1.195 billion yuanAnhui Jingmei was established to focus on28nm and aboveMask production.
• meaning: perfectUpstream of the semiconductor industry chainlayout to solve the problem of photomask stuck neck.

6. Summary of industry trends

1. Reshaping the storage landscape: DDR4 prices will increase until the end of the year,HBM、DDR5Becoming the main force of growth, domestic storage is ushering inalternative window。
2. AI power supply upgrade：800V+SiCIt has become the standard configuration of AI data centers, including ON Semiconductor, Infineon, etc.Power semiconductorManufacturers benefited deeply.
3. OEM competition intensifies: Samsung wins big order from Tesla,Advanced processCompetition is intensifying,U.S. domestic production capacityBecome the key.
4. Accelerating technology iteration: KIOXIA, MACOM, etc.Flash memory, radio frequencyContinuous breakthroughs in the field support the upgrade of AI and communication infrastructure.
5. Domestic substitution deepens: inStorage, photomask, analog chipIn other fields, domestic manufacturers rely onCost-effectiveness + localizationQuick breakout.