Memory chipmakers have seen inventory pile up amid weakening demand from the datacenter sector. They have almost four months worth of memory inventory on average, and mobile DRAM inventory levels are even higher. Although components suppliers are conservative about datacenter demand for the rest of 2020, server vendors and ODMS are generally optimistic. PC vendors are also upbeat about their sales in second-half 2020 due to the stay-at-home needs. And they are now devoting moe efforts to the enterprise and gaming segments.
Memory chipmakers hold nearly 4 months of inventories: Samsung Electronics and other major chip suppliers have held nearly four months of DRAM and NAND flash inventories on average, due to a slowdown in orders for datacenter applications and overall weaker consumer sentiment than pre-pandemic levels, according to industry sources.
Upstream, downstream suppliers vary in datacenter outlook: Mixed messages are coming from the datacenter server supply chain about the outlook for the rest of 2020, with component suppliers expressing caution about demand and system assemblers generally remaining positive.
Notebook brands pushing enterprise and gaming models in 2H20: Brand vendors have seen strong PC sales due to stay-at-home activities worldwide and are now primarily focusing on releasing enterprise and gaming models to cater to related demand, according to sources from the upstream supply chain.