Delivery lead times for USB PD chips prolonged
Julian Ho, Taipei; Steve Shen, DIGITIMES
Delivery lead times for notebook-use USB power delivery (PD) chips at international vendors, such as Cypress, have been prolonged to at least 28 weeks due to tight capacity at 8-inch foundry fabs, according to industry sources.
Related chip suppliers in Taiwan, such as Weltrend, noted that they had received more inquiries from clients, asking them to ramp up their shipments as much as they could, the sources said.
These chipmakers noted that the USB PD chips are low in the pecking order at foundry houses in the first quarter, an off-peak season for such chips. They expect to secure more foundry capacity support in the second and third quarters.
Weltrend has been outsourcing its foundry orders for USB PD chips to TSMC, while cooperating with Greatek Electronics for the backend packaging and testing services, the sources said, adding Weltrend also fabricates MCUs and other chips at UMC.
Weltrend expects the popularity of USB PD chips with Type-C interface will continue to gain momentum thanks to their adoption in notebooks, desktops, gaming consoles and smartphones. It estimates the penetration rate of USB PD chips in the notebook sector to reach 35-40% in 2021.
In response to increasing demand, Weltrend has raised its quotes for USB PD chips by 15-20% at the beginning of April - its first price adjustments since 2020, the sources said.
The sources expect Weltrend's shipments of USB PD chips to reach 200 million units in 2021.
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April 21, 2021 at 12:46PM
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Delivery lead times for USB PD chips prolonged - Digitimes
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