In Q2, STMicro announced a 15% price increase affecting all product lines, including backlogged orders, which is in effect from April onward. Lead times remain high due to raw material shortages.
The shortage of EEPROM programmable memory parts is affecting transceiver production. Limited raw materials, workforce shortages and insufficient output of EEPROM’s is delaying deliveries.
Intel Cascade Lake and Cascade Lake Refresh, have been under severe constraints. This is expected to continue through Q2 with the additional sanctions imposed amid the Russia-Ukraine war.
The shortage of power management IC controllers is a driving factor in SSD price increases that have gone into effect in Q2. Samsung, Intel and Micron have increased pricing 5-10%.
GPU prices are expected to lower by 10-15% as a result of the US lifting its tariffs. Exclusions reportedly apply to imports dating from October 2021 to December 2022.
The global supply chain has seen an uptick in backlog, price increases and longer lead times due to disruptions. This includes earthquakes in Japan and shutdowns due to COVID-19.