--- title: "Under the New Cycle for Analog Chips, Who Can Seize the Bonus?" type: "News" locale: "en" url: "https://longbridge.com/en/news/286255825.md" description: "The analog chip market is ushering in a wave of price hikes in 2026, with Texas Instruments (TI) and NXP Semiconductors successively announcing price adjustments. TI's price hike notice indicates that the adjustments will affect multiple products, with the percentage gain depending on materials and technology, applicable to orders effective from July 1, 2026. TI has adjusted prices three times in the past year, with gains ranging from 10% to 85%. NXP will also implement price adjustments starting June 1, 2026, due to inflationary cost pressures. Both companies have issued performance guidance exceeding market expectations, reflecting a recovery in demand in the industrial and automotive sectors" datetime: "2026-05-13T11:56:30.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/286255825.md) - [en](https://longbridge.com/en/news/286255825.md) - [zh-HK](https://longbridge.com/zh-HK/news/286255825.md) --- # Under the New Cycle for Analog Chips, Who Can Seize the Bonus? As of May 2026, the leading players in the analog chip market have already launched two waves of price increases. ## Two Analog Giants Raise Prices Again! On May 8, news circulated in the market regarding a price hike notice from TI (Texas Instruments). The notice stated that Texas Instruments is about to adjust product prices. This adjustment will affect multiple products in its portfolio, with the percentage gain depending on specific materials and technologies. The new prices will apply to all orders and shipments effective from July 1, 2026. Texas Instruments stated that this price increase is driven by the current market environment and rising costs across the broader supply chain. Notably, this is the third price adjustment by TI in the past year. The first occurred last August, when TI announced price adjustments for over 60,000 part numbers, with an overall increase of 10%-30%, and even higher gains for some scarce models. This round of price hikes basically covered the entire product line, including analog chips such as power management ICs and signal chain products, as well as embedded processors like MCUs and DSPs, and logic devices. The second time, TI planned to initiate a second round of comprehensive price increases starting April 1. This increase ranged from 15% to 85%, potentially covering all customers and involving several core products such as digital isolators, isolated driver chips, and power management ICs. NXP Semiconductors (NXP), another major analog chip manufacturer that also issued a price hike notice in March, recently updated its price adjustments. Market sources indicate that NXP will implement price adjustments starting June 1, 2026. These adjustments are due to changing inflationary cost pressures, including raw materials, energy, labor, logistics, and supplier inputs. In the previous wave of price hikes, NXP announced price adjustments for certain products effective April 1, 2026. Reflected in their performance, TI and NXP have successively released quarterly performance guidance that exceeded market expectations, indicating a continuous recovery in demand in end-use sectors such as industry and automotive. On April 23, TI released its first-quarter 2026 financial report, with performance comprehensively beating market expectations. The company's Q1 revenue reached $4.83 billion, a year-on-year increase of 19% and a quarter-on-quarter increase of 9%. By business segment, the analog chip business, as the company's core engine, generated revenue of $3.924 billion in the first quarter, a year-on-year increase of 22%; the embedded processing business (including MCU chips) generated revenue of $723 million, a year-on-year increase of 12%, with operating profit surging 205% year-on-year. This earnings explosion marks the spread of the semiconductor industry's recovery from AI computing infrastructure to broader industrial and automotive fields. The boom in AI data center construction has not only driven demand for digital chip giants like Nvidia and AMD but is also "lifting analog demand (especially power management and signal chains) to a new level." On April 28, NXP announced its first-quarter 2026 financial report. The company's first-quarter revenue was $3.181 billion, a year-on-year increase of 12%, exceeding analysts' expectations of $3.15 billion; all end markets grew comprehensively, with the industrial and IoT business growing by 24%, standing out the most. NXP expects Q2 revenue to be in the range of $3.35 billion to $3.55 billion, with a median year-on-year growth rate of about 18%, also exceeding analysts' expectations of $3.27 billion. Looking ahead to the second quarter, NXP expects revenue to be in the range of $3.35 billion to $3.55 billion, with a median of $3.45 billion, a median year-on-year growth rate of about 18%, and a median quarter-on-quarter growth rate of about 8%, compared to analysts' expectation of $3.27 billion. ## Who Is Rewriting the Cycle for Analog Chips? From the demand side, historically, discussions about the analog chip cycle rarely lacked a string of keywords: automotive, industrial automation, consumer electronics—these accounted for the majority of demand, giving the cyclical recovery of analog chips a highly predictable character. But AI data centers are breaking this inertia. Morgan Stanley's latest research believes that the fundamentals of analog chips are moving from an "L-shaped bottom" towards recovery: channel inventory is more streamlined, pricing pressure has eased, and supply for mature processes and power-related products has become selectively tight. The large-scale advancement of GPU computing clusters is not only a demand puller for advanced processes but also an incremental transformer in the fields of power management and signal chains. Behind a high-density computing board card lies the need for multi-phase controllers, DrMOS, hot-swap controllers, voltage regulator modules, and optical interconnects and storage interface chips that work in synergy with them—all of which represent incremental space for analog devices. From a deeper market drive perspective, the true structural variables are concentrated in the upgrade of AI rack power architectures. Morgan Stanley emphasized in its report that changes in AI rack power architecture over the next 12 to 24 months will become one of the most important structural variables in the analog chip field. Its focus is mainly on two dimensions: first, the technological generational leap brought by the evolution of AI rack power architecture to 800V; second, the synergistic penetration of high-voltage direct current (HVDC) and digital power management solutions under high-power density clusters. The report predicts that the power semiconductor content value in each Rubin Ultra rack may exceed $20,000. Electric vehicle adoption and industrial automation are also becoming core growth engines parallel to AI. The high penetration of new energy vehicles combined with the upgrade to high-voltage platforms has significantly increased the usage and value of analog chips per vehicle, with demand for automotive-grade power management, signal chain, and isolation chips continuing to surge. According to iHS and Melexis, electrification has significantly increased the demand for analog chips per vehicle across all levels from A to E. For example, the usage of analog chips in Class A fuel vehicles is about 100 units, while the demand for Class A pure electric vehicles is as high as over 350 units; in Class B vehicles, the usage of analog chips per vehicle has increased from 160 units for fuel vehicles to nearly 400 units for pure electric vehicles, while the usage for pure electric Class E vehicles exceeds 650 units. On the industrial side, as manufacturing prosperity recovers and smart manufacturing and photovoltaic energy storage upgrade, orders in fields such as industrial control, motor drives, and sensor signal conditioning are steadily recovering, with rigid demand attributes continuing to be released. From the supply side, looking at supply logic, analog chips and digital chips have distinctly different technological development paths. The performance improvement of digital chips is highly tied to the iteration of advanced processes, with core competition focusing on continuous breakthroughs in nanometer-level processes; whereas analog chips do not blindly pursue extreme advanced processes, having higher tolerance for process nodes, with R&D and mass production focusing more on device stability, anti-interference performance, and parameter matching precision. Precisely because of this, mass production of analog chips in the industry generally relies on 8-inch mature wafer production lines as the core carrier, without occupying expensive advanced process capacity. Relying solely on 8-inch mature processes can meet the mass production requirements for the vast majority of application scenarios, including automotive, industrial control, and consumer electronics. However, in the past two years, the prices of upstream wafer substrates and packaging materials have continued to rise, coupled with frequent fluctuations in global energy prices, leading to a sharp increase in cost pressures for leading foundries and packaging/testing enterprises in mature processes. They can only pass these costs down by adjusting prices accordingly, which has become the direct trigger forcing analog chip manufacturers to follow suit with price adjustments. Data from TrendForce shows that since the second half of 2025, the two leading wafer foundries, TSMC and Samsung, have continuously reduced their 8-inch mature process capacity. At the same time, the explosive growth of AI servers and edge computing devices has driven a significant rise in demand for power management ICs and power devices. In 2026, the average utilization rate of 8-inch capacity among the top ten global wafer foundries has rebounded to nearly 90%. In terms of market trends, 8-inch foundry prices have stopped falling and rebounded; 12-inch mature processes, affected by TSMC's production cut plans, have also seen expectations of order transfers, with second-tier foundries planning to raise quotes again in the second half of 2026. Capacity is also showing a contracting trend: in 2025, the total global 8-inch wafer capacity declined by 0.3% year-on-year, entering negative growth for the first time. Although there will be slight capacity expansions by manufacturers such as SMIC and Vanguard International Semiconductor in 2026, the scale of new capacity is far insufficient to offset the production cuts by leading manufacturers. The full-year 8-inch capacity is expected to decline by another 2.4% year-on-year, and the tightening supply situation is expected to continue at least until the first half of 2027. This structural capacity exit has completely reversed the industry situation of the past two years, characterized by excess capacity in mature processes and continuously declining foundry prices. ## Which Domestic Analog Chip Companies Can Seize the Bonus? SG Micro reported operating revenue of 1.098 billion yuan in the first quarter of 2026, a year-on-year increase of 39.08%; net profit attributable to shareholders of the listed company was 124 million yuan, a year-on-year increase of 106.96%. **Awinic Technology** reported operating revenue of 646 million yuan in the first quarter of 2026, a year-on-year increase of 1.02%; net profit attributable to shareholders of the listed company was 51.0547 million yuan, a year-on-year decrease of 20.32%. **Novosense** reported total operating revenue of 1.141 billion yuan in the first quarter of 2026, a year-on-year increase of 59.17%, with net profit attributable to parent company shareholders of -35.7365 million yuan. **Joulwatt** reported total operating revenue of 765 million yuan in the first quarter of 2026, a year-on-year increase of 44.8%, with net profit attributable to parent company shareholders of -276 million yuan, a year-on-year decrease of 143.54%. **BPSemi** reported operating revenue of 609 million yuan in the first quarter of 2026, a year-on-year increase of 86.35%; net profit attributable to shareholders of the listed company was 36.7593 million yuan, turning a loss of 6.679 million yuan in the same period last year into a profit. **3PEAK** reported total operating revenue of 702 million yuan in the first quarter of 2026, a year-on-year increase of 66.5%, with net profit attributable to parent company shareholders of 105 million yuan, a year-on-year increase of 577.25%. **Shanghai Belling** reported operating revenue of 604 million yuan in the first quarter of 2026, an increase of 28.93% from 469 million yuan in the same period last year, achieving a relatively large expansion in revenue scale. **Chipown Microelectronics** reported operating revenue of 294 million yuan in the first quarter of 2026, a year-on-year decrease of 2.57%; net profit attributable to parent company shareholders was 13.7242 million yuan, a year-on-year decrease of 66.59%. **Eutech Microelectronics** reported operating revenue of 206 million yuan in the first quarter of 2026, a year-on-year increase of 25.71%; however, net profit attributable to parent company shareholders was -1.393 million yuan, turning from profit to loss year-on-year. **Kiwi Instruments** reported total operating revenue of 205 million yuan in the first quarter of 2026, a year-on-year increase of 66.38%, with net profit attributable to parent company shareholders of 13.63 million yuan, a year-on-year increase of 203.79%. From the financial reports of the above manufacturers, it can also be seen that domestic analog chips are experiencing a recovery, but not a universal rise across the board. Due to differences in technical strength and downstream market demand, the industry has quietly diverged significantly. Companies that have completed layouts in high-barrier products such as automotive-grade, signal chain, isolation, and drivers early on can enjoy the triple bonus of "surging demand + price hike elasticity + localization"; while companies still trapped in the red ocean of consumer electronics (low-end PMICs, LED drivers, audio power amplifiers), even with industry recovery, cannot convert revenue into profit due to lack of pricing power and customer stickiness. In this round of analog chip price hikes, domestic manufacturers are facing three core opportunities. **First is the opportunity of price bonus.** With overseas giants raising prices comprehensively and tightening supply, domestic enterprises are raising product prices accordingly, quickly repairing industry gross margins and reversing the previous situation of low profitability due to low-price competition. **Second is the opportunity of order transfer.** With lead times for overseas chips extending significantly, downstream customers in automotive, industrial control, and computing are accelerating the adoption of domestic solutions out of supply chain security considerations, continuously expanding the market space for general-purpose analog chips. **Third is the opportunity of high-end breakthrough.** The explosion of the new energy vehicle and AI computing industries has driven a surge in demand for high-value-added chips such as automotive-grade, industrial-grade, and high-speed signal chains. Local enterprises are leveraging market demand to accelerate automotive certification, complete high-end product layouts, rely on local supply chain advantages to cultivate core customers, and achieve a transition from low-end volume to high-end markets during the industry's upward cycle, comprehensively enhancing market discourse power and industrial competitiveness. Risk Warning and Disclaimer The market carries risks, and investment requires caution. This article does not constitute personal investment advice, nor does it take into account the specific investment goals, financial status, or needs of individual users. Users should consider whether any opinions, views, or conclusions in this article align with their specific circumstances. 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