The supply of MEMS sensors has fallen short of demand, which will likely persist through at least first-quarter 2021, according to industry sources.

Tight capacity at pure-play foundries and backend houses has constrained the supply of MEMS sensors and components, such as accelerometers and gyroscopes, the sources indicated. MEMS chip providers, including IDMs, have all seen their supply become tight as demand started picking up between the third and fourth quarters of 2020, the sources said.

MEMS and optical sensor packagers, such as Lingsen Precision Industries, are already operating at full capacity, the sources noted. Meanwhile, ASE Technology and King Yuan Electronics (KYEC) have also seen their MEMS sensor packaging lines fully utilized, the sources continued.

At foundries, 8-inch fab capacity has been tight due to growing demand for display driver ICs, power management chips and other chip solutions demanding mature-node manufacturing, the sources said. MEMS chip suppliers have also encountered rising quotes proposed by foundries, and may end up slightly adjusting their quotes as well.