Q2 2026 Automotive ASIC Undersupply Looms as 2025 Memory Utilization Reaches 95%

Explore semiconductor capacity trends, potential automotive ASIC undersupply in 2026, and rising memory prices due to high utilization and tariffs

Currently, no capacity constraints are expected for all device types through the end of 2025. However, rising capacity constraints for ASICs in 2026 could increase the chance of undersupply. Furthermore, Memory capacity utilization is rising above 95% in the second half of 2025, which will cause pricing to rise. Tariffs and ensuing disruptions to materials, capital equipment, and end markets could potentially impact semiconductor shipments and production capacity in 2025 and 2026.