The surge in chip prices is gaining momentum. Positive news is emerging in the fields of artificial intelligence and display equipment!
On November 3, it was reported that Li Lecheng, Secretary of the Party Leadership Group and Minister of the Ministry of Industry and Information Technology, published a signed article titled “Accelerating the Promotion of Artificial Intelligence Empowering New Industrialization” in the magazine “Party Building”. Li Lecheng stated that it is necessary to strengthen computing power supply, effectively utilize existing support channels, accelerate breakthroughs in high-end chips, high-speed interconnects, and other technologies, and promote the construction of an ecosystem for the coordinated development of intelligent chips in software and hardware. Focus on algorithm models, strengthen research on underlying algorithms in language, vision, and multimodal areas, and break through cutting-edge technologies such as brain-like intelligence and world models.
According to multiple media reports, on November 3, three high-end equipment for the mass production line of 8.6-generation large-size OLED screens were officially released in Chengdu, marking a new breakthrough in China’s display equipment field. The three high-end equipment released in the display field are a multi-application inkjet film deposition platform, the first domestically produced large-size bonding equipment, and the first domestically produced EHD dispensing equipment, all applied in the mass production line of 8.6-generation large-size OLED screens.
In the secondary market, today (November 3), AI concept stocks performed strongly, with AIGC, Sora, and multimodal AI leading the gains; some OLED concept stocks also showed active performance, with stocks like Yaxiang Integration, Taiji Industry, and Foshan Technology hitting the daily limit.
Artificial Intelligence Welcomes Good News
On November 3, it was reported that Li Lecheng published a signed article titled “Accelerating the Promotion of Artificial Intelligence Empowering New Industrialization” in the magazine “Party Building”.
Li Lecheng stated that it is necessary to accelerate breakthroughs in key core technologies. To gain an advantage in the field of artificial intelligence, it is essential to cultivate “root technologies” and solidify the foundational bases of computing power, algorithms, and data. Strengthen computing power supply, effectively utilize existing support channels, accelerate breakthroughs in high-end chips, high-speed interconnects, and other technologies, and promote the construction of an ecosystem for the coordinated development of intelligent chips in software and hardware. Build a computing power interconnection platform and strengthen collaborative scheduling of computing power. Focus on algorithm models, strengthen research on underlying algorithms in language, vision, and multimodal areas, and break through cutting-edge technologies such as brain-like intelligence and world models.
Improve the policy system, research and issue implementation opinions for the “Artificial Intelligence + Manufacturing” special action, deploy intelligent transformation tasks for key industries, key links, and key fields, and publish guidelines for the application of artificial intelligence in manufacturing enterprises. Accelerate the intelligent transformation of key industries, formulate guidelines for the intelligent transformation of key manufacturing industries, regularly carry out empowering “deep action” activities, and build online and offline supply-demand docking platforms to accelerate the promotion and application of benchmark solutions and experiences in the industry.
Li Lecheng stated that it is necessary to accelerate the iteration and innovation of intelligent product equipment, promote the replacement of AI smartphones, AI computers, and other consumer terminals, accelerate the research and application of new generation intelligent terminals such as humanoid robots and brain-machine interfaces, and promote the deep integration of large models with intelligent connected new energy vehicles and CNC machine tools. Accelerate the design, development, testing, and deployment of intelligent agents, and explore a multi-agent collaborative ecosystem.
Increase financial support, leverage the role of the National Artificial Intelligence Industry Investment Fund, and guide social capital to invest early, invest small, invest long-term, and invest in hard technology. Guide industrial agglomeration, build a national manufacturing innovation center in the field of artificial intelligence with high quality, and enhance the supply capacity of key common technologies. Guide the national artificial intelligence innovation application pilot zone to gather quality enterprises and create a highland of innovative applications with distinct industry characteristics and advantages. Leverage the advantages of national high-tech zones and national advanced manufacturing clusters to support the agglomeration, innovation, and collaborative development of the artificial intelligence industry.
It is worth noting that in the secondary market, AI concept stocks have been strong for several consecutive trading days. Hefo China has achieved five consecutive limits, Shenzhou Information has three limits in four days, and Yue Media and Huanrui Century have two consecutive limits.
Open Source Securities pointed out that since 2025, global model innovation has entered an orderly and high-quality development stage, with model capabilities continuously improving while costs are decreasing. For example, the next-generation foundational model architecture Qwen3-Next released by Alibaba Tongyi Lab uses a uniformly sampled subset of Qwen3 36T pre-training corpus, containing 15T tokens of training data, and the GPU hours consumed for training are less than 80% of Qwen3-30A-3B; compared to Qwen3-32B, only 9.3% of GPU computing resources are needed to achieve better model performance. With the improvement of the “cost-performance ratio” of large models, AI applications are expected to flourish.
Dongwu Securities stated that the core reason for the stagnation of downstream applications in this round of AI market is the lack of short-term certainty—no blockbuster products with breakout effects and smooth business models have emerged, which corresponds to the lack of visibility in performance at the listed company level, making them not the first choice for funds in this round of market. However, from the perspective of the evolution of the technology wave, the ultimate view is that AI empowering everything will definitely be realized through the application end, meaning that the outbreak of the application end has medium-term certainty and a broader space than upstream hardware. This has already been verified in the “Internet +” wave ten years ago and the corresponding stock market trend, which also means that the launch of the AI application market is only a matter of time.
The aforementioned brokerage firms stated that currently, in the broad AI direction, many subdivisions are at relatively low levels due to limited short-term catalysts and insufficient accumulation of bullish narratives. Once there are unexpected industrial events such as technological breakthroughs or breakout products, it will accumulate bullish narratives and gather capital consensus, making the odds of related directions considerable. Attention can be paid to branches such as AI + medicine, AI edge computing, humanoid robots, intelligent driving, and AI applications and agents. In the medium to long term, the competitive landscape will shift from single technological breakthroughs to the collaborative development of “computing power—network—ecosystem”.
New Breakthroughs in Display Equipment
According to Guangming Network, on November 3, at the 2025 World Display Industry Innovation Development Conference hosted by the Chengdu Municipal Government, the Sichuan Provincial Department of Economy and Information Technology, and the Sichuan Provincial Economic Cooperation Bureau, three major domestic high-end equipment were officially released. Among them, the Kediwa G8.6 OLED mass production-level multi-application inkjet film deposition platform fills the gap in China’s high-generation OLED core manufacturing equipment field, while the Lian De Equipment G8.6 OLED large-size bonding equipment and EHD dispensing equipment have achieved significant breakthroughs in key processes.
It is reported that the Kediwa G8.6 OLED mass production-level multi-application inkjet film deposition platform has achieved international leading levels in printing accuracy and production efficiency, meeting the industry’s large-scale production needs. Its innovative print head combination module supports the entire process chain from high-precision graphical to pixel deposition, providing a complete solution for the OLED industry. The launch of this platform will effectively assist China in achieving larger sizes, higher efficiency, and lower costs in OLED mass production.
The Lian De Equipment G8.6 OLED large-size bonding equipment has achieved a breakthrough in the EAC segment bonding protection process for domestic equipment, effectively preventing damage to OLED panels during the manufacturing process, providing key guarantees for panel yield and ensuring the autonomy and controllability of the industrial chain; the EHD dispensing equipment adopts innovative electrodynamic technology, featuring ultra-narrow line widths of 10 microns and excellent filling capabilities in irregular shapes, demonstrating outstanding performance in high-end application scenarios such as ultra-narrow bezels, and achieving mass production application of this technology in China for the first time, with technical indicators reaching industry-leading levels.
According to CCTV News, Hu Chunming, Executive Deputy Secretary-General of the LCD Branch of the China Optical and Optoelectronic Industry Association, stated that the emergence of these high-end domestic display equipment will help China achieve mass production of new display products with larger sizes, higher efficiency, and lower costs, marking a new stage in the localization and high-end development of China’s display industry manufacturing equipment.
The China Electronic Information Industry Development Research Institute released the “China New Display Industry High-Quality Development Index (2025)” at the conference, showing that during the 14th Five-Year Plan period, China’s new display industry chain has fully upgraded from the previous point-based model to a chain-based model, “driving new display upstream materials and equipment to grow significantly through point-to-surface and symbiotic interaction.”
Editor: Yang Yucheng
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Proofread: Yang Lilin
According to the latest news, TSMC will further increase the prices of advanced processes (below 7nm) in 2026, with an expected increase of 3% to 10%, marking the fourth consecutive year of price increases for the world’s largest foundry.
Various signs indicate that the global chip price surge is intensifying. According to supply chain news, Samsung Electronics has taken the lead in suspending the contract prices for DDR5 DRAM in October, prompting other memory manufacturers such as SK Hynix and Micron to follow suit, with the resumption of pricing expected to be delayed until mid-November.
In the market, today (November 3), the stock prices of SK Hynix and Samsung Electronics continued to rise, with SK Hynix soaring nearly 11% by the close of the Korean stock market; Samsung Electronics rose over 3%, again reaching a historical high. A-share memory chip concept stocks also collectively strengthened, with Taiji Industry hitting the daily limit, Shannon Chip rising over 8% to set a new historical high, and Puran Co., Jiangbolong, Shangluo Electronics, Zhaoyi Innovation, and Beijing Junzheng also rising.
TSMC Major News
On November 3, according to the Economic Daily of Taiwan, citing industry insiders, due to rising production costs and continued supply-demand imbalance, TSMC has initiated annual price negotiations with customers, expecting an increase of 3% to 10% for advanced processes in 2026.
According to insiders, TSMC has notified customers that since September, it has started a four-year price increase plan for advanced processes below 5nm, with the increase varying based on individual customer procurement levels and cooperation situations. Among them, the most sought-after 3nm process is expected to rise by at least a single-digit percentage.
The industry describes this as the “first long-term price increase action since the AI era”. Looking ahead to 2026, TSMC’s advanced chip processes will face significant capacity bottlenecks, mainly due to the increasing proportion of high-performance computing (HPC) customers in the company’s orders.
Analysts believe that TSMC’s rare initiation of a four-year price increase is in line with MediaTek’s previous mention of “reflecting cost increases in chip prices”, and is expected to trigger the next wave of chip price increases.
Some institutions point out that with the prevalence of global inflation, coupled with TSMC’s overseas factory construction and rising production costs, to maintain high gross margins, it is estimated that prices for TSMC’s processes below 5nm will rise by about 5% to 10% starting in 2026.
According to research institutions, although the price increases for individual advanced processes in 2026 will vary, the overall increase is expected to be better than this year.
Chip design companies point out that TSMC’s price increase may mean a gradual reduction in capacity for mature processes above 7nm, with AI, server, and HPC applications becoming the main beneficiaries.
Industry insiders indicate that TSMC will comprehensively consider factors such as customer procurement scale and cooperation depth to determine specific price increases, ensuring stable customer relationships while reflecting costs.
Advanced processes have become the main growth driver for TSMC. The 5nm and 3nm family processes accounted for 60% of revenue in the second quarter of this year, maintaining this ratio in the third quarter, with 3nm accounting for 23% and 5nm for 37%.
TSMC has repeatedly emphasized that the company works closely with customers to plan capacity and invests in advanced and special process technologies to support customer needs, while obtaining appropriate compensation under customer trust. Currently, advanced processes are in continuous short supply due to demand from AI applications.
Analysts believe that as AI-related demand grows, TSMC’s revenue and profits will continue to increase. Foreign capital has previously raised the company’s medium- and long-term revenue forecast for AI applications, originally expected to reach 35% of total revenue by 2028, now expected to be achieved as early as this year or next.
TrendForce predicts that wafer fabs will benefit from the demand for power management chips driven by AI, and have planned to comprehensively raise foundry prices in 2026. Although the specific increase is still under negotiation, the market’s price increase atmosphere has already formed. TSMC’s leading position in advanced processes and the tight capacity situation provide support for its continued price adjustments.
Chip Giants Suspend Pricing
Currently, the global chip price surge is intensifying. According to the Chinese Taiwan Electronic Times, citing supply chain news, Samsung Electronics has taken the lead in suspending contract prices for DDR5 DRAM in October, prompting other memory manufacturers such as SK Hynix and Micron to follow suit, with the resumption of pricing expected to be delayed until mid-November.
Reports indicate that in the fourth quarter, upstream manufacturers are only providing quotes to technology leaders or first-tier cloud manufacturers, with DDR5 almost completely not releasing capacity to other general customers, indicating that the memory market has “completely entered a seller’s market”. Moreover, in the future, the supply strategies of the three major memory manufacturers will become increasingly strict, providing quotes only to long-term customers; this also means that not providing quotes may become the norm, forcing customers with urgent needs to turn to the spot market to grab goods.
Industry insiders revealed that although the increase in contract prices for memory in the fourth quarter has become a market consensus, the previous expectation was that the fourth-quarter contract prices could be finalized before the end of October. However, Samsung has been reluctant to provide contract quotes, directly telling downstream customers “there is no stock available”, leading to a 25% surge in DDR5 spot prices within a week.
Currently, the fourth-quarter contract prices have not yet been finalized, but it is speculated that from the fourth quarter of this year to the first half of next year, DDR5 prices will experience a “triple jump” increase, advancing towards a 30% to 50% increase each quarter. Based on this calculation, DDR5 16Gb prices may reach as high as $30 in the first half of 2026.
Industry insiders view this round of price increases as the start of a “super cycle”, with AI as the core driving force, leading to a sharp increase in global demand for high-bandwidth memory (HBM). For example, OpenAI’s data center project named “Stargate” is expected to require up to 900,000 wafers per month.
Guotai Junan Securities pointed out that the memory industry has entered a new upward cycle, and with the surge in memory capacity demand driven by AI large model training and inference, the shortage of HBM and DDR5 memory will further transmit throughout the entire memory industry chain.
TrendForce’s latest report estimates that in the fourth quarter, general DRAM prices will rise by 18% to 23%, and if HBM is included, the increase will expand to 23% to 28%; it is also estimated that contract prices for various NAND Flash products will rise across the board, with an average increase of 5% to 10%.
TrendForce analyst Xu Jiayuan stated that entering the fourth quarter, as North American cloud service providers gradually release positive DRAM demand outlook for 2026, it is expected to drive overall DRAM demand growth and price increases, with momentum continuing into 2026.
TechInsights’ October statistics show that the average inventory of DRAM in the third quarter has dropped to 8 weeks, down from 10 weeks in the same period last year and 31 weeks at the beginning of 2023, indicating a rapid tightening of market supply.
Several well-known memory analysts predict that both the DRAM and NAND Flash markets are currently experiencing shortages, and it is expected that prices in the industry will further rise in the fourth quarter and 2026.
Editor: Zhan Shiheng
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Proofread: Yang Lilin