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Chinese Chipmakers · Global Supply Chain · RAM Crisis · Semiconductor Supply
Nelson Duann, VP at Silicon Motion, revealed that Chinese memory chip makers like CXMT and YMTC are obligated by government guidance to prioritize domestic market supply, thereby limiting their ability to alleviate the global RAM crisis.
Duann's comments, made in an interview with Tom's Hardware, clarify that Chinese suppliers' strategy differs from foreign counterparts. While foreign suppliers allocate most supply to high-return opportunities like data centers, Chinese firms must support local manufacturers of system RAM, SSDs, phones, and PCs.
This domestic protection means Chinese consumers face fewer RAM crisis-related pricing issues. The theory that increased Chinese production would serve global consumers is now doubtful.
Nvidia's CEO, Jensen Huang, predicts the RAM crisis will last through the end of the decade. Although Apple announced efforts to relieve the memory shortage, details remain unclear.
This situation makes a global escape route to relief from the RAM crisis less probable.
