Consumers may witness high memory prices over next 12-18 months amid high demand: IESA
Amid high memory demand, India Electronics and Semiconductor Association (IESA) President Ashok Chandak has said that memory consumers may witness high memory prices as no significant capacity in expected to come online in the next one and a half years (12-18 months). Further, the price of devices, especially smartphones, as gone up by 20-30% in the last six months.
He pointed that the demand for memory has exceeded the supply which is driving the prices higher. He noted that the entire memory capacity of memory chip maker Micron in India has been booked due to high demand. Besides, the ongoing crisis in West Asia is impacting the entire economy, and also has an impact on the electronics. He said that the critical raw materials, such as petrochemical plants, diesel, manganese, chemicals, and other gases, have been impacted by the crisis.
However, Chandak noted that India Semiconductor Mission 2.0 (ISM 2.0) will bring some relief for the country and boost the semiconductor ecosystem, which will reduce dependency on imports. On industry expectations on the incentives under ISM 2.0, he said that it should be more than the previous edition, which was $10 billion.
