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Winbond Electronics Targets 50% Operating Margin in Q3 Amid Tight Memory Supply
Electronic Technology · Semiconductors · cnyes · 2026-08-06
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Winbond Electronics expects continued price growth for DRAM and Flash in Q3, aiming for a 50% operating margin while forecasting tighter supply through 2027.
What Happened
Operational Outlook: Winbond CEO Pei-Ming Chen stated that DRAM and Flash prices are expected to continue their upward trend in Q3, with the company aiming to push its operating margin beyond 50% due to strong AI demand and product mix optimization.
AI-Driven Demand: The surge in AI server demand is significantly boosting the need for NOR Flash, with Winbond expecting higher unit counts per system and leveraging its leading market position to capture this growth.
Supply Dynamics: Management anticipates that DRAM supply will become even tighter in 2027 compared to 2026, as major international players shift capacity toward high-end HBM and DDR5, reducing supply for mature products.
Strategic Focus: Winbond is focused on improving 16nm process yields and expanding its SLC NAND business, aiming to become the world's largest SLC NAND supplier within the next two years to ensure long-term profitability.