Chip Market Research ServicesSpring is in full bloom...• Order activity for semiconductor equipment hovered at a hot 104 degrees• Equipment manufacturers have been reporting stellar quarterly results and a strong outlook for the rest of the year, mirroring VLSI’s climate trend • VLSI’s Chip Price Performance bounced backSemiconductor AnalyticsLast Week in the Semiconductor Market:Semiconductor sales growth continued to slow off peak 21 levels, echoing exec views of a weak 2Q21. Focusing on Analog & Power, last week its y/y MA sales growth ran over 40% but it is clearly settling into a normal 2Q pattern. DRAM also registered significant slowing in growth while Auto, Logic, and NAND accelerated.Semi Market results from last week: • Semiconductor Weather1 Report: The IC weather was hot as it cooled 0?F for the week.• Wafer Fab Production Levels: while still well above 2020 levels, slipped back for the 3rd week to 7% which is below the 2020 high.• IC Supply-Demand2 Metrics: Analog & Power pulled back, joining IDM & DRAM• Electronics Prices have bottomed.
Strategy and Tactics: Test in semiconductor economics. Government and the Semiconductor Shortage. Disaggregated versus modular architecture.Test, the unsung heroes of semiconductor economics: In 1970, one dollar of installed test equipment could test 41 transistors. It could be even worse in the future when you consider that 50 years later, a 1970 dollar was worth $6.61. Yet a 2020 dollar of installed test equipment in 2020 could test 200M transistors, for a gain of 7 orders of magnitude. It works out to a 56% CAGR or 2.4x every Moore’s Law cycle of 2 years… Can the Government Solve the Semiconductor Shortage? Everyone knows the answer is not quickly. What most don’t know is simply building a fab is not a solution, even if ‘I Dream of Jeannie’ wiggled her nose to make one instantly appear in the pine forests of up-state New York or the saguaro cactus fields of the Arizona-Sonoran Desert. I use the words ‘most don’t know,’ because T.J. Rodgers was on CNBC expounding on how …Comments, Questions & Answers: Disaggregated-Heterogeneous Design versus modular architectureThe Chip History Center: Multi-Pattern Lithography Economics and Killer Defect Economics and Did EUV development cost more than the Manhattan Project?ChipChirps™ — VLSI's Semiconductor Analytics report and more. ChipChirps are short notifications from VLSI’s analysts to alert clients about breaking news and events. They are exclusively available on VLSI’s App for Android and iOS.Chip History CenterThe DRAM crash of 2008 - How the 2007-2008 financial crisis that led to the great recession ignited a crash in semiconductors. When it comes to semiconductor downturns, DRAMs are the canary in the coalmine. Here’s how it tweeted out.Semiconductor StocksVLSI's Semiconductor Stock Indices decreased this week while the S&P 500 hit a new yearly high.• Semiconductors -1.1%• Equipment -0.6%• Electronic Materials -0.8%• EDA -2.1%VLSI’s Semiconductor Stock Index decreased this week despite Texas Instruments, Analog Devices, and Maxim claiming three of the top stock spots.IDM +0.3%Foundry & OSAT -2.2%Fabless & Fablite -1.2%VLSI’s Semiconductor Equipment Stock Index slipped this week with more than half of the companies finishing above the weekly average. ASM International came out on top with Tokyo Electron also being a top performer.WFE +1.2%Test +0.2%Assembly -6.7%VLSI’s EDA Stock fell.VLSI’s Electronics Materials Stock Index decreased this week, DuPont de Nemours was this week’s biggest winner.Hottest Stocks: DuPont de Nemours, ASM International, Texas Instruments, DNP, Tokyo Electron, Analog Devices, and Maxim.