VLSIresearch reported that Wafer Fab Utilization in the semiconductor industry reached a new high for 2015 in the third quarter, as semiconductor companies ramped production to meet demand for the coming holiday season. The overall area produced was up almost 5% from a year ago, achieving a new record for silicon processed in a single quarter. However, VLSI cautioned that utilization was lower than in 3Q 2014 due to a much higher increase in production capacity, which also reached recorded highs. VLSIresearch expects production to drop off in 4Q 2015 due to seasonality and the glut conditions it has previously reported in the semiconductor market. VLSI said weak electronics demand and excess supply is hammering chip prices as the industry heads into the holiday season.
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