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Market Chatter: Powerchip Semiconductor Hikes DRAM Prices By 45% in July

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Powerchip Semiconductor Manufacturing (TPE:6770) raised DRAM prices by 45% this month and increased prices of power management and display driver chips by 10% to 15%, Taipei Times reported Wednesday, citing the company's second-quarter earnings conference.

The company said the price hikes are expected to boost gross margins in the current quarter as higher-priced shipments are delivered, and it did not rule out further increases in the second half of the year, according to the report.

Chairman Frank Huang said structural DRAM supply shortages are likely to persist into 2027, while artificial intelligence-related foundry services are expected to become a key long-term growth driver, the report noted.

Powerchip reported second-quarter net profit of NT$3.29 billion, down 77% from the previous quarter, but said first-half earnings rebounded from a year earlier, the news outlet said.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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