Who Could Gain From 28nm Chip Crisis?

Silicon Motion Technology Corp (NASDAQ: SIMO) President Wallace Kou projected the flash device controller ICs' supply crisis to extend in 2022, DigiTimes Asia reports
Kou expects the 28nm and the 40/55nm process capacities at foundries to remain incredibly tight and could fall short of demand by up to 50% in 2022.
Silicon Motion had raised FY21 revenue growth guidance to 65% – 70%, betting on NAND flash demand for data center, server applications, and pickup in handset demand. Kou sees $1.5 billion worth of orders in 2022 and expects the revenue to top $1 billion in 2023.
United Microelectronics Corp (NYSE: UMC), which extended its 28nm technology partnership with Arm Ltd, plans to raise its prices for 28nm processes, DigiTimes reports shortly after a previous hike.
Taiwan Semiconductor Manufacturing Co Ltd (NYSE: TSM) previously disclosed to keep the 28nm prices unchanged throughout the second half of 2021.
Interestingly, the semiconductor chip crisis proves to be a chipmaker revenue driver.
Price Action: TSM shares closed higher by 2.66% at $110.96, UMC shares higher by 2.22% at $10.60, and SIMO shares higher by 3.26% at $72.17 on Monday.

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