Word from Taiwan is that flip-chip substrate capacity might be maxed during the first half, due to heavy demand for for graphics chips and chipsets. Rumors of price hikes of up to 10% abound.

Bough Lin, chairman of Siliconware Precision Industries Ltd., reportedly told DigiTimes that demand for flip-chip substrates will be over 10 million units per month, 70 to 80% of which could be consumed by ATI Technologies and Nvidia combined. The two firms combined demand was five to six million units per month this year, DigiTimes said. And VIA Technologies and Silicon Integrated Systems will need 300,000 to 400,000 units per month, Lin reportedly said.

Phoenix Precision Technology, Taiwan's largest flip-chip substrate supplier, will double its capacity to five million units per month by the end of February, Lin told DigiTimes.