Apple analyst Ming-Chi Kuo's latest research indicates that Win Semiconductor's business momentum will continue to improve in the coming quarters, unaffected by the weakening trend of orders from major client Lumentum. It is due to the growing orders for epi wafers and smartphone power amplifiers (PA).
Kou's three key points about Win Semi is as follows:
- Win Semi's epi wafer has been qualified by Apple and is anticipated to ship to Apple for the first time in 2H23 for use in the iPhone 15 series. The market share of Win Semi's epi wafer is expected to keep growing over the next few years, promoting vertical integration and profit enhancement.
- China's SMIC will likely start shipping 5G chips as early as 2H23, with Win Semi as the exclusive PA foundry.
- The proportion of Chinese brands adopting local PA suppliers continues to grow, contributing to the ongoing increase in the market share of PA production for Win Semi.