According to TheElec report, semiconductor foundry company DB HiTek has decided to increase the foundry price, with the highest price adjustment of 20%.

According to people familiar with the matter, DB HiTek notified its customers that it will increase the contract price by at least 10% and up to 20% in 2021. Although some customers refuse to accept it, they can only compromise afterwards. In addition, after the price increase, the company's orders have not decreased but increased, and orders from new customers continue to appear. Currently, DB HiTek's production lines are fully operational.

TheElec pointed out that DB HiTek currently operates two wafer fabs, one located in Bucheon, Gyeonggi-do, and the other in Umseong County, Chungcheongbuk-do. DB HiTek has already signed many production contracts for 2021. Due to the tight supply of foundry production capacity, DB HiTek has already released all the production capacity of the two factories this year, but it can only produce according to the time sequence of the order, and most of the orders are still waiting for production.

According to people familiar with the matter, SK Hynix and Samsung have also considered plans to increase the foundry price of 200mm wafers.

In addition, Frank Huang, the chairman of another semiconductor foundry company, Powerchip, recently mentioned in an interview with TV media that in recent years, the global wafer foundry capacity has hardly increased, and the 2016~2020 capacity growth rate is less than 5%, but the global wafer capacity demand growth rate from 2020 to 2021 is 30~35%. The current production capacity has become unimaginably tight, and customers' demand for production capacity has entered a panic. In addition, Frank Huang also said that production capacity will become more scarce in 2021.