2022 Industry Insights: Predictions for the Global Semiconductor Sector
Sourcengine’s 2022 semiconductor industry predictions include component availability and pricing forecasts for the new year. It also features an examination of one of the biggest risks facing manufacturers in the post-coronavirus pandemic components supply chain.
AMD lands contract to provide Meta with server chips
AMD recently revealed it agreed with Meta to supply it with server chips to support Facebook and its other products. That development will have two significant impacts on the broader semiconductor industry that could benefit smaller manufacturers.
Worsening ABF substrate shortfall could extend global chip shortage beyond 2023
ABF substrate, a critical semiconductor raw material, is in increasingly short supply, negatively impacting multiple leading chipmakers. The scarcity of the resource could extend the global chip shortage.
Samsung to triple production capacity by 2026 amid rising demand
Samsung recently revealed it will be tripling its chip manufacturing capacity by 2026. The company is also launching a groundbreaking new component fabrication process to bolster its foundry services market share.
AMD, Nvidia, and Intel CEOs predict global chip shortage will continue into 2023
The chief executives of AMD, Nvidia, and Intel expressed the belief the global chip crunch would drag on into 2023. Industry leaders believe the ongoing bottleneck will negatively impact the 2021 holiday shopping season.
Micron to spend $150B on global R&D, production capacity expansion
Micron Technology, the world’s third-biggest DRAM manufacturer, plans to spend $150 billion over the next decade to expand its research and development and production capabilities. The firm is looking to build a new fab in Europe, Japan, Taiwan, or the United States.
TSMC to build $8.8B chip plant in Japan with government support
Taiwan Semiconductor Manufacturing Company (TSMC) announced plans to build an $8.8 billion chip fab in Japan with financial support from its government. While the new factory will bolster the foundry’s production capacity, it will also likely increase component prices.
Chip lead times reach 22 weeks following Chinese power cutbacks
DigiTimes reported that the average lead time for integrated circuits had reached a record 22 weeks. In addition, industry leaders and market watchers expect the global chip shortage could persist past 2022.
China’s power crunch affects semiconductor companies with local facilities
China is dealing with an energy crunch due to constrained coal supplies and carbon emission-related power cuts. As a result, semiconductor companies with facilities in the region have dealt with operational disruptions.
Wayward balloon causes brief power outage affecting multiple European chipmakers
Last month, a foil balloon temporarily knocked out power across Dresden, Germany. As a result, facilities maintained by Infineon Technologies, Bosch, and GlobalFoundries in the area were affected.