Motherboard makers suffering from low demand

Sources in the upstream supply chain told DigiTimes that Intel's Kaby Lake and AMD's Ryzen aren't resulting in more sales for motherboard makers; The site heard motherboard shipments decreased this quarter and the forecast is that demand is unlikely to pick up next quarter.

ASUS and Gigabyte saw sales drop to under four million motherboards each this quarter, the lowest number shipped in the past few years, and the performance of second-tier and third-tier motherboard maker is even worse.

Some improvement is expected by Q3 2017 and gaming products are still doing very well:

The sources pointed out that motherboard/graphics card players' overall shipments and revenues will see significant drops in the first half, but Asustek and Gigabyte are expected to see declines not as steep as the market's average thanks to demand from the gaming market.

But the sources expect demand from the PC DIY market to have a good chance to rise in the third quarter due to seasonality, as well as Intel's launch of its top-end Skylake-X and Kaby Lake-X processors and X299 chipsets, and AMD's release of its Ryzen 3 series processors for inexpensive mainstream sector and mass shipments of its Vega series GPUs, .