The price of silicon wafers is predicted to climb by 25% by 2025

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In 2024, a 12-inch wafer will cost $200 for the first time, according to the China Times. After signing long-term contracts to lock in costs, all-silicon wafer companies have signed, the report claims that it may be impossible to obtain more silicon.

The predicted 20-25 percent increase in wafer prices between now and 2025 would be caused by numerous causes, including increased demand combined with a worldwide economic disruption. However, the cost of a silicon wafer is frequently only a fraction of the cost of the final device.

There was a lot of news concerning the establishment of new chip plants throughout the world in 2021 and 2022. While Intel is expanding into Europe, Samsung and TSMC are developing significant facilities in the United States. However, businesses such as GlobalWafers, Shin-Etsu, and Sumco are the primary suppliers of sophisticated chips. These firms do not have strong growth goals like chipmakers.
According to the research, Taiwan's GlobalWafers, a key contributor to the sector, has secured sales on all of its wafers through 2024, as has Japan's Shengco, which has sold out of wafer manufacturing until 2026.

According to the China Times, the top three silicon wafer manufacturers "have already received advance payments from clients and initiated a large-scale expansion plan." However, these measures will not begin to have an impact until at least 2024.

The price of silicon wafers is predicted to climb by 25% by 2025

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