The semiconductor industry, which has been affected significantly due to pandemics in the last couple of years, was seen growing big too.
According to Semiconductor Industry Association’s report, the chip industry in 2021 has grown by 26% in sales compared to 2020 figures. Also, the total revenue has increased by analysts estimates, to stand at $583 billion. All this is led by giants like Intel, AMD and TSMC.
Growth of Global Chip Industry
Chipset, one of the crucial things in most devices today, has unknowingly become an endangered product after the COVID-19 pandemic. This is due to shut down or delayed production worldwide since workers are restricted to homes as lockdown protocols.
And this showed a significant impact in the manufacturing of devices based on it, seriously affecting computer and Auto products. While the smartphone OEMs have got their fair share, they merely pushed this burden onto customers through overpricing their products.
Yet, with all these hindrances, the global semiconductor industry has grown by 26% in sales in 2021 compared to its previous year. According to the Semiconductor Industry Association (SIA), whose report said the global chip industry in 2021 made $556 billion in sales, compared to 2020’s $440 billion.
Also, there’s a record 1.15 trillion semiconductor units shipped in 2021, with a total revenue being earned standing at $583 billion figure! This is huge and crossed the analyst’s expectations of the $500 billion mark. The race in these tough times was led by key players like Intel, AMD and TSMC, who have been pumping investments into new building new fabs around the world.
Intel has recently announced investing over $20 billion for two fabs in the US, whereas TSMC committed to spending over $100 billion to build more manufacturing plants in the next three years. Also, the companies earned well in 2021, reporting record profits every quarter.