Market Research Future Insights

According to market research future insights analysis, the global semiconductor foundry market is expected to register a CAGR of ~ 7.90% from 2022 to 2030 and hold a value of over ~USD 149.73 billion by 2030.

Currently, the global semiconductor foundry market is growing quickly. This factor is driving the semiconductor foundry business as semiconductor foundries step up their efforts to produce automotive chips in anticipation of an increase in semiconductors used in autonomous driving. Semiconductor foundry services have been advantageous to numerous sectors. Some major industries requiring semiconductor foundry services are telecom, computer and networking, consumer electronics, and automotive. Supply chains are being damaged by the COVID-19 epidemic, which is also slowing the growth of the global semiconductor foundry market. Share prices are declining due to disruptions in publicly disclosed supply chains and the threat to the revenues of semiconductor assembly and testing service providers. Lower shareholder returns result in a low level of investment. Providers of semiconductor foundry services are concentrating on creating backup plans to address short-term and long-term supply chain disruptions amid the current crisis.

The semiconductor foundry market refers to the segment of the semiconductor industry that specializes in manufacturing integrated circuits (ICs) for other companies. These foundries produce ICs based on designs provided by their customers, who are typically fabless semiconductor companies, design houses, or system companies. The foundry market is a critical component of the semiconductor industry, enabling companies to develop and manufacture complex ICs without the need for expensive and capital-intensive manufacturing facilities.

Semiconductor Foundry Market Key Players

Some of the key market players are

• Taiwan Semiconductor Manufacturing Company (TSMC) Limited
• United Microelectronics Corporation (UMC)
• Samsung Electronics Co. Ltd (Samsung Foundry)
• Dongbu Hitek Co. Ltd
• Hua Hong Semiconductor Limited
• Globalfoundries Inc.
• Semiconductor Manufacturing International Corporation
• Intel Corporation, STMicroelectronics NV
• Powerchip Technology Corporation
• Tower Semiconductor Ltd
• Vanguard International Semiconductor Corporation
• X-FAB Silicon Foundries
• NXP Semiconductors NV
• Renesas Electronics Corporation
• Microchip Technologies Inc.
• Texas Instruments Inc.

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The market for semiconductor foundry services is driven by several factors, including the growing demand for advanced electronic devices such as smartphones, tablets, and other mobile devices, as well as the increasing need for high-performance computing, artificial intelligence, and machine learning applications. In addition, the growing complexity of IC designs and the need for advanced process technologies to meet performance and power requirements is also driving the demand for foundry services.

Semiconductor Foundry Market Regional Analysis

Asia Pacific dominated the market for semiconductor foundry in 2021. Because there are so many semiconductor foundry businesses and service providers, the Asia-Pacific industry is highly competitive. Compared to other regions, the regional market has consistently grown over the last ten years and is expected to continue growing. Asia-Pacific holds the largest global market share for semiconductor foundries. 

North America was the fastest-growing region for semiconductor foundry. The rising demand for semiconductor chips, businesses in each of these nations are putting creative solutions into practice. To secure a consistent supply of American semiconductors, the US is preparing a sizable investment to support the construction of an American research facility and cutting-edge manufacturing facilities. After the shortage of semiconductor chips, the supply chains in America received more focus.

Semiconductor Foundry Market Segmentation

The global semiconductor foundry market has been segmented into technology nodes and applications.

Based on technology nodes, the market has been segmented into 20 Nm, 10/7/5 Nm, 16/14 Nm, 45/40 Nm,28 Nm, 65 Nm, 130 Nm, and other technology nodes. The 130 Nm segment had a prominent share in 2021. Nodes with a 130 nm technology have a longer lifespan and a more appealing price point. On the other hand, the 65 Nm segment was the fastest-growing segment during the forecast period. The main factors driving the segment expansion are the increasing demand for electric, connected, and self-driving vehicles on a global scale.

Based on application, the market has been segmented into consumer electronics and communications, automotive, industrial, HPC, and other applications. Consumer electronics had a prominent share 2021 in the semiconductor foundry market. Due to the increasing demand for new technologies and the rapid development of new technologies to meet customer wants, the consumer electronics industry is one of the fastest-growing businesses in the world. As consumer demand has increased, businesses have been concentrating on creating high-performing, user-friendly products. Communication was the fastest-growing segment due to the increased usage of mobiles.

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