Welcome Here  Shenzhen Mingjiada Electronics Co., Ltd.

On June 17, GigaDevice responded to the investor's question on the investor interaction platform "Can the GD32A5 vehicle-grade MCU product be mass-produced within two months?" It said that the company's 40nm vehicle-grade MCU products have already sent samples to customers.

GigaDevice also disclosed that the main reason for the change in “net cash flow from operating activities” in the first quarter of 2022 was that the company actively strengthened supply chain management, guaranteed capacity supply, prepaid suppliers, and paid 2021 year-end bonuses. The company's inventory mainly includes raw materials, work-in-progress, and inventory goods.

It further pointed out that the company's view of maintaining structural shortages in 2022 remains unchanged, such as the company's large-capacity NOR Flash, NAND Flash, and MCU products for industrial and automotive applications. On the supply side, the expansion rhythm of various fabs has been delayed due to the prolonged equipment delivery, and the release of production capacity has slowed down. At the same time, the epidemic will also disrupt production on the supply side, and the logistics time is lengthening. Based on the above situation, and also based on the long-term stable and good cooperative relationship maintained by the company with various suppliers, in order to further stabilize the supply, the company plans to actively strengthen cooperation with suppliers this year, strategically increase inventory, and prepay suppliers A reflection of the implementation of the company's aforementioned plans.

Zhaoyi Innovation also pointed out that the company's DRAM layout is currently dominated by niche markets, mainly for consumer electronics and other niche markets. As a Virtual IDM model, it is more suitable for products in subdivided niche markets. The DRAM niche market is currently a market of about 8 billion US dollars. For the company, there is no ceiling, which is enough to bring considerable growth space for the company. At the same time, the customer group that needs DRAM products in the niche market has a high degree of overlap with the company's existing customer group, which makes the company's resources in the entire customer channel and technical support and the innovation process have a high degree of synergy.

It is understood that the main business of Zhaoyi Innovation is the research and development, technical support and sales of memories, microcontrollers and sensors. The company's products are widely used in handheld mobile terminals such as mobile phones and tablet computers, consumer electronic products, Internet of Things terminals, personal computers and peripherals, industrial control equipment, automotive electronics, communication equipment, medical equipment, office equipment and other fields.