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Tuesday, October 28, 2003
USB controller suppliers suffer from short flash memory supply
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Blaming a shortage of flash memory, Taiwanese IC design houses
offering USB controllers said they expected business to decline
along with falling USB flash disk and card reader shipments,
according to DigiTimes.
IC design companies like ALi and Genesys Logic projected that
their fourth-quarter sales could drop 5-10% from the previous
quarter. ALi president Chin Wu said he expected the short supply
of flash, which started in mid-2003, to last through the fourth
quarter.
Faraday Technology, a semiconductor intellectual property (SIP)
provider, also projected slow sales through year-end, saying it
had been hit in USB 2.0-related products.
Earlier, the companies had expected sequential sales growth
during the second half, the traditional peak season for the
PC-related industry.
According to Genesys Logic, the supply of flash memory has become
even tighter recently because of the recovery of the handset
market. Currently, major flash makers, including Intel, Advanced
Micro Devices (AMD) and Samsung Electronics, are rationing their
supplies to customers. If the situation worsens, some second-tier
memory card manufacturers may lose their supply entirely, Genesys
Logic said. |
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