Samsung Electronics’ newly launched Galaxy Z Fold8 has generated stronger-than-expected demand, creating a supply bottleneck for its display driver IC (DDI), the chip that controls screen pixels. Taiwan-based foundry UMC produces the DDI, designed by Samsung Electronics’ System LSI Division, on a 22-nanometer process that has reached capacity. Samsung’s request for super-urgent production was rejected because UMC’s line is also making other chips, so Samsung plans to redirect DDI capacity originally reserved for next year’s development into this year’s mass production. A normal run takes about four months from wafer production to finished DDI, followed by bonding with Samsung’s OLED and final assembly. Samsung is also increasing orders for hinges and ultra-thin glass. Demand indicators include Vietnam pre-orders reaching 2.4 times the previous generation, increases of about 60% in Southeast Asia and Oceania, and Samsung’s highest-ever foldable pre-order volume in Europe. Samsung is reportedly considering raising annual Z Fold8 production by 1 million units from 2.8 million. Demand for the clamshell-style Z Flip8 remains within expectations, while Apple plans to launch a passport-type foldable product in the second half of this year.