WEEKLY NEWS 012

1. Flash Memory Market Sees a Wave of Price Increases Amid Tight Supply

2. China's Dominance in Global Automotive Display Panel Market Continues to Grow

3. Explosive Growth in GPU-Embedded Server Market Drives Server Market Revenues

4. South Korea's ICT Exports Surge, Driven by Smartphones and Communication Equipment

5. EU Pushes for a New "Chips Act 2.0" to Strengthen Semiconductor Supply Chain

1. Flash Memory Market Sees a Wave of Price Increases Amid Tight Supply

According to a March 18 report from Flash Market, a new wave of price increases is sweeping the storage market as manufacturers adopt tight supply policies and raise prices. These price hikes are cascading down the supply chain to the spot market, with prices rising across channels, embedded systems, and industries. As the resource prices continue to climb, some channels face increased pressure from product inversion, which further accelerates the price surge.

Comment: The flash memory market is experiencing a price surge, primarily driven by manufacturers controlling supply and raising prices. This is leading to a ripple effect, pushing prices up across the entire market, from channels to embedded systems. The rising costs are intensifying stockpiling needs and creating increased pressure on downstream players.

2.?China's Dominance in Global Automotive Display Panel Market Continues to Grow

According to Qunzhi Consulting, the global shipment of automotive display panels is expected to reach 230 million units in 2024, marking an 8.5% year-on-year increase. Chinese panel manufacturers are performing strongly, accounting for half of the global market share. As automotive electronics and smart technology continue to advance, the market is expected to grow further, with shipments projected to reach 250 million units by 2025. This growth is driven by the rapid expansion of China's automotive market and consumer demand for intelligent in-car interiors.

Comment: The global automotive display panel market is forecast to grow by 8.5% in 2024, with China’s manufacturers capturing half of the total market share. As the demand for smarter and more connected car interiors increases, the technology behind these displays is evolving rapidly. The outlook for continued growth in China’s automotive display sector is strong, positioning local companies as key players.

3. Explosive Growth in GPU-Embedded Server Market Drives Server Market Revenues

IDC’s latest report shows that the global server market revenue surged by 91% year-on-year to $77.3 billion in Q4 2024, largely driven by the adoption of GPU-embedded servers. Nvidia continues to dominate, holding more than 90% of the GPU embedded server market. While x86 servers grew by 59.9%, non-x86 servers saw an impressive 262.1% increase. The embedded GPU server market alone saw a 192.6% growth, bringing in $235.7 billion in total revenue for the year, nearly double compared to 2020.

Comment: The global server market saw a massive 91% revenue increase in Q4 2024, driven by the widespread adoption of GPU-embedded servers. Nvidia continues to dominate the sector, with AI and cloud computing becoming key drivers of this surge. The increasing demand for powerful computing capabilities across industries is reshaping the server market landscape.

4.?South Korea's ICT Exports Surge, Driven by Smartphones and Communication Equipment

South Korea's Ministry of Science and ICT reported that February 2025 ICT exports reached $16.71 billion, a 1.2% year-on-year increase, marking the second-highest figure for February in history. While semiconductor and display exports declined, mobile phone, computer equipment, and communication device exports surged significantly. Additionally, South Korea's ICT trade surplus reached $5.81 billion. To further foster innovation, the government announced a $34 billion fund to support strategic sectors like chips and automobiles, along with policies to attract global talent.

Comment: South Korea's ICT exports reached $16.71 billion in February 2025, with strong growth in mobile phones and communication equipment. Despite a slight decline in semiconductor exports, the overall performance highlights the strength of South Korea’s tech sector. However, challenges remain for its semiconductor industry amidst global competition.

5.?EU Pushes for a New "Chips Act 2.0" to Strengthen Semiconductor Supply Chain

On March 19, semiconductor manufacturers and supply chain companies urged the European Commission to launch the "Chips Act 2.0" as a follow-up to the 2023 Chips Act. This new legislation would focus on supporting semiconductor design, materials, and equipment, addressing the increasing competition in AI-driven technologies. Despite the European Union’s initial €43 billion investment, the first Chips Act failed to attract advanced chip manufacturers and cover the entire supply chain. The new proposal is expected to foster collaboration and innovation, particularly in AI chip technologies, to enhance Europe's global competitiveness.

Comment: With global competition in semiconductor technology intensifying, the European Union is calling for the implementation of a new "Chips Act 2.0" to support semiconductor design, materials, and equipment. This move aims to increase Europe’s global competitiveness, focusing on AI chips' technical challenges and fostering innovation across the entire supply chain.