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hot_img MLCC supply is in short supply: customers are raising prices two to three times to secure materials, with delivery times extended to 12-16 months

Driven by strong demand for AI, the MLCC market has seen a surge in price chasing and material grabbing. Industry sources indicate that some customers are willing to pay two to three times the price to secure supplies from major manufacturers like Yageo and Murata, creating a situation where the highest bidder wins. Yageo has admitted that AI-related customers are increasingly looking to lock in capacity in advance to reduce supply risks. Currently, major MLCC manufacturers are fully booked, with capacity nearing full load, and delivery times have extended to 12 to 16 months.In terms of capacity, Yageo expects the utilization rate for standard products this quarter to increase from about 80% in Q2 to over 90%, while special products will maintain a high level above 90%, overall trending towards full capacity. The company is also expanding production, with new capacity set to come online each quarter. Japanese manufacturers are also optimistic, with Murata significantly raising its annual profit forecast, and Taiyo Yuden stating that demand for AI servers has exceeded expectations. Industry insiders point out that large customers typically have a higher priority for capacity allocation, while small and medium-sized customers can only compete for limited supplies by offering higher prices. Yageo has noted that more and more customers wish to secure passive component supplies for the next six months to several years through long-term contracts to mitigate supply chain risks.

TD Cowen: The review window for the US cryptocurrency bill may be extended to the August recess, and if not passed, it may be postponed until 2027

According to The Block, investment bank TD Cowen stated that the time window for the U.S. to pass the crypto market structure bill may extend to the August recess, breaking the previous expectation that legislation needed to be completed before the Easter recess.Jaret Seiberg, managing director of TD Cowen's Washington research team, pointed out that the Easter recess is not a critical milestone, and legislative work can continue before and after the recess. With the conclusion of the primaries, some lawmakers will have greater flexibility for negotiations. Seiberg believes that the August recess is the last meaningful legislative window, after which Congress will only meet for 12 days in September and 2 days in October, which is only enough time to handle spending bills and defense authorization bills.He also reiterated that if control of Congress changes after the 2026 midterm elections, the bill may be delayed until 2027. It is expected that the House may shift to Democratic control, at which point the Democrats may choose to delay until 2027 to gain greater leverage. Currently, the crypto bill is stalled due to opposition from the banking sector regarding stablecoin yields and the Democrats seeking conflict-of-interest provisions for government officials, but both sides are reportedly close to reaching a compromise. Seiberg stated that if the bill does not pass in 2026, the SEC will provide the regulatory actions needed for the crypto industry.
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