International Electronic Business News on the 9th, the market research agency predicted that the global power management chip capacity will increase by 4.7% in the first half of 2023, and the vehicle regulation products will become the only stable sales momentum in the overall power management chip market

In the first half of 2023, in addition to the traditional off-season of stock, and the demand for consumer electronics is still weak, enterprises plan to reduce capital expenditure. However, under the situation that the power management chip leader TI RFAB2 and LFAB capacity are successively launched, TrendForce estimates that the global power management chip capacity will increase by 4.7% in the first half of the year, and will continue to bring price reduction pressure on consumer electronics, Netcom, industrial control and other application products. It is expected that the quotation in the first half of the year will continue to decline by 5-10%. On the other hand, driven by the process of converting fuel vehicles to electric vehicles, the demand for vehicle regulation products is stable. Even though the downturn makes the noise of the whole vehicle market continue, the vehicle regulation products benefit from the long-term cooperative relationship between the buyer and seller, and the price will not be significantly loose, and will become the only stable sales momentum in the overall power management chip market.

IDM manufacturers hold 63% of the power management chip market

The market of power management chips is quite diverse. International IDM manufacturers include TI, ADI, Infineon, Renesas, onsemi, ST, NXP, etc; IC designers include Qualcomm, MPS, MediaTek, Anpec, GMT, Leadtrend, Weltrand, Silergy, BPS, SG Micro, etc. From the perspective of the market scale of global power management chip shipments, the IDM industry accounts for 63% of the total market share, while TI accounts for 22% of the total market share, which is the top of the industry. Due to the diversified product portfolio, stable quality and abundant capacity, it has great influence on the global power management chip market. In general, in 2022, the IDM industry increased its price in response to high inflation and high costs, further boosting the overall average unit price of sales (ASP), but the IC design industry has taken the lead in showing weakness.

Consumer electronic power management chips are sold at reduced prices, and only automotive and a few industrial control demand is stable

TrendForce said that the price of power management chips used in products such as laptops, tablets, televisions and smart phones has been reduced by 3 to 10% since the third quarter of 2022. In the fourth quarter, except for AC-DC, DC-DC, LDO, Buck, Boost, PWM and Charger ICs for related applications, the price of power management chips has been reduced by 5 to 10%. The demand for network communication devices and industrial fields has also loosened. At present, only a few industrial (national defense) and automotive demand has remained stable, The order was placed in the second quarter of 2023, and there was no price reduction. However, since more than 83% of the power management chips in the industrial and automotive fields are in the hands of IDM manufacturers, it is still difficult for IC designers to enter. This is also the market that IC designers are eager to enter at a time of sluggish demand for consumer electronics, and the IC delivery process is urgent and continues.

According to the survey, at present, the delivery time of power management chips is 12 to 28 weeks on average for IC designers, and even some models of products have a large amount of inventory, such as panel power management chips, which can be shipped as soon as they are ordered; However, the delivery period of IDM large factories is generally still long, with the non-vehicle delivery period of 20-40 weeks, and the vehicle delivery period of more than 32 weeks. There are also a few products with complicated manufacturing, assembly and inspection processes still in the distribution state.