Microchip: 98% of the market concentrated in 10 companies
Microchips are at the heart of modern technology and are found everywhere, from phones to appliances to cars. Large manufacturing companies producing these components have become essential to modern life and economic development. Their presence in one or another country has now become strategic for autonomy and development.
Visual Capitalist's Marcus Lu and Pallavi Rao show the largest semiconductor foundry companies by their share of global revenue in the first quarter of 2023 in the chart below , using data from Trendforce. You will see that the data will leave you speechless:
We highlight data from companies that only operate “foundries” (fabrication plants) that produce chips for customers, also known as “pure-play foundries,” as well as companies that design and produce their own chips, known as integrated device makers . This does not include companies that simply design, not manufacture, their own chips.
Semiconductor foundry company by revenue
At the top of the list, dwarfing every other company in terms of revenue share, is TSMC, which earned 60% (or nearly $17 billion) of the entire industry's revenue in the first quarter of 2023.
Founded in 1987, TSMC is a pure-play foundry that has grown into Taiwan's largest company, producing products for a range of customers including Apple, NVIDIA and AMD.
Well behind TSMC in foundry revenue is integrated device maker Samsung, South Korea's largest company, which earned $3.4 billion (12.4% of industry revenue) from its foundry business. semiconductor production.
GlobalFoundries from the US, UMC from Taiwan and SMIC from China round out the top five, each taking home about 6% of the industry's revenue share in the first quarter of 2023. The former exited AMD's manufacturing arm when the company she became fabulous in 2009.
Industry concentration is evident in semiconductors. For example, the top 10 semiconductor foundry companies account for 98% of the entire industry's revenue. Furthermore, 90% of the market is dominated by companies from just three Asian countries: Taiwan, South Korea and China.
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The article Microchip: 98% of the market concentrated in 10 companies comes from Economic Scenarios .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/microchip-il-98-del-mercato-concentrato-in-10-aziende/ on Mon, 27 Nov 2023 06:15:18 +0000.