ADI's revenue increased by 34%, indicating a significant recovery in analog chips
Analog Devices (ADI) 's latest financial report has sent out a signal of recovery in the analog chip industry. Its revenue in the latest quarter reached 3.076 billion US dollars, a year-on-year increase of 26%, exceeding Wall Street's expectations of 60 million US dollars, and completely emerging from the revenue decline since 2022.
As a global leader in analog ics, Adeno has achieved growth in all its terminal markets, with the electric vehicle and intelligent driving businesses making the most significant contributions. By segment, the revenue from the industrial sector was 1.43 billion US dollars (up 34% year-on-year), remaining the largest business segment. Revenue from the communication business was 390 million US dollars (up 37% year-on-year), that from the automotive business was 852 million US dollars (up 19% year-on-year, significantly exceeding the market expectation of 767 million US dollars), and that from the consumer electronics sector was 408 million US dollars (up 7% year-on-year), all of which were better than or in line with market expectations.
CEO Richard Puccio said that orders grew healthily this quarter, and the demand in the industrial and communication markets was strong. Despite macroeconomic variables, the company is expected to continue to benefit from the cyclical recovery and long-term growth opportunities. Adeno expects its revenue for the next quarter to be between 3 billion and 3.2 billion US dollars, and its adjusted operating margin is expected to be between 42.5% and 44.5%.
At the industry level, the demand for analog chips has comprehensively picked up, with the core driving forces coming from the recovery of the electric vehicle and industrial sectors, as well as the growth in demand for "AI+ terminal devices" driven by the iteration of large AI models. The recent stable performance of peers such as Texas Instruments and ON Semiconductor also reflects the industry growth momentum brought about by the better-than-expected downstream inventory reduction and emerging demands. In response to this recovery trend, the Baineng Yunxin platform has simultaneously updated the rich inventories and real-time prices of leading manufacturers such as ADI and TI, providing efficient component procurement and supply chain support for customers to seize market opportunities.
Second, as the chip industry enters a period of price hikes, Baineng Yunxin offers stable supply and cost optimization solutions
Starting from the second half of 2025, the prices of memory chips have risen first. The price increase effect has spread to areas such as Gpus and passive components. Coupled with the disruption of Nexperia's supply chain, which has exacerbated the shortage of automotive chips, the chip industry chain has fallen into a structural imbalance between supply and demand, initiating a period of price hikes and shortages.
The growth of memory chips has been rapid, especially in the fourth quarter. At the end of September, the price of mainstream DDR5 16Gb chips was $7.68, and it jumped to $15.5 in October, with a monthly increase of 102%. The price of DDR4 16Gb has increased by more than 92%. Samsung has raised the contract price of server memory chips by 30% to 60%. The price of 32GB DDR5 memory modules has increased from $149 in September to $239. Sandisk announced a 50% price increase for NAND, marking at least the third price hike this year. Morgan Stanley data shows that the spot price of NAND has risen by approximately 50% over the past six months, while the spot price of DRAM has soared by 300%, exceeding the long-term growth rate from 2016 to 2018. TrendForce said that the contract price of DRAM in the fourth quarter rose by more than 75% year-on-year, and memory pushed up the BOM cost of complete machines by 8% to 10%.
Passive components have also followed suit and raised their prices. Fenghua Advanced Technology has adjusted the prices of multiple products by 5% to 30%. Starting from November 1st, Jimei, a subsidiary of Yageo, has raised the prices of some tantalum capacitors by 20% to 30%, and the price adjustment has been expanded to direct sales customers. The main reason for the price increase is the rise in the prices of upstream metal raw materials. The price of silver has risen by 50% within the year, and the prices of tin, copper and other materials have also increased across the board. Enterprises have adjusted their prices to cut losses.
Due to the increase in memory prices, AMD plans to raise graphics card prices by at least 10% next year, marking the second price hike in recent months. Nvidia may postpone the release of the RTX 50 Super series and suspend the production of low-end graphics cards. Xunxun suggests that the current situation might be the "last chance" for consumers to purchase new graphics cards at low prices, hinting that prices will structurally rise in the future.
The supply chain deadlock at Nexperia Semiconductor has not been fully resolved. Although the shipment of some chips has resumed, the Netherlands has not supplied goods to China, and the supply situation remains questionable. European auto parts suppliers are seeking alternative products, and some alternative parts have experienced a short-term sharp increase in supply. Against the backdrop of widespread price hikes and tight supply, Baineng Yunxin, with its extensive supply network, can provide customers with alternative solutions and inventory inquiry services for memory chips, passive components, Gpus, and even automotive chips, helping customers cope with price fluctuations and ensure production continuity.
This time, the industry has seen a general increase. Memory chips have been squeezed by AI production capacity, which has reduced traditional supply. Passive components have been driven by rising raw material prices. Automotive chips have been affected by Nexperia. The market believes that the tight supply of memory chips may continue until 2026, and the price trend of passive components depends on the cost of raw materials and the demand for AI. Through the platform of Baineng Yunxin, customers can obtain cross-category market situation analysis and supply trend predictions, thereby making better purchasing decisions.
Third, Tesla's self-developed chip strategy is accelerating, and Baineng Yunxin is closely following the latest technological trends
At present, Tesla's chip iteration lineup is clear: The AI5 is close to design finalization and is about to be taped out. Samples are expected to be produced in 2026 and mid-scale shipments in 2027. The AI6 is being developed simultaneously, and its performance will double when it goes into mass production in 2028. AI5 is manufactured on a 3nm process, with a computing power of 2000-2500 TOPS, which is five times that of the current HW4. It has a power consumption of 250 watts and can support L4-level autonomous driving and Optimus robots. Its performance is on par with NVIDIA's Blackwell chip, but its cost is only one-tenth of that, and it leads in energy efficiency.
To advance the plan, Musk personally participates in the chip regular meetings every Tuesday and Saturday, deeply optimizes the design, and globally recruits AI/IC talents. In terms of production capacity, AI5 is co-manufactured by TSMC and Samsung, and at the same time, it is planned to build its own "Terafab" wafer fabrication plant with a monthly capacity of 1 million wafers.
This strategy has triggered a response in the industrial chain: domestic companies such as Shiyun Circuit and AMEC respectively provide PCB boards and etching equipment. In 2026, related orders may contribute over 1.5 billion yuan in revenue. TSMC and Samsung's advanced process capacity is being prioritized for Tesla, intensifying the tightness of high-end chip capacity. Musk said, "Chips and power are the bottlenecks of the future. We have prepared energy solutions and are addressing chips." This layout is reshaping the landscape of AI hardware. Baineng Yunxin continuously pays close attention to the cutting-edge technologies and strategic dynamics that lead industry transformation, ensuring that platform information is in line with industry trends and empowering customers to remain competitive in the rapidly evolving market.
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