Contract chipmaker Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is expected to remain the third-largest IC supplier this year, unchanged from last year, IC Insights said yesterday.
IC designer MediaTek Inc (聯發科) is expected to become the 11th-largest, up from 16th last year, the semiconductor market research firm said.
TSMC is expected to post US$45.42 billion in sales, up 31 percent from last year, IC Insights said in a report released on its Web site.
TSMC’s sales growth is largely due to a surge in orders from Apple Inc and HiSilicon Technologies Co (海思半導體) — two of its major clients — which require its advanced 5-nanometer and 7-nanometer processes.
MediaTek is forecast to post US$10.78 billion in sales, up 35 percent from last year, making it one of only two IC firms to enter the list of top 15 semiconductor suppliers for the first time.
The other new entry is Sunnyvale, California-based Advanced Micro Devices Inc, which is expected to generate US$9.52 billion in sales, up 41 percent from last year, to become the 15th-ranked supplier, up three notches, IC Insights said.
Intel Corp is expected to retain the top spot with sales forecast to reach US$73.89 billion, up 4 percent from last year, ahead of Samsung Electronics Corp, which is expected to post sales totaling US$60.48 billion, up 9 percent from last year, to take second place.
SK Hynix Inc is expected to be in fourth place with US$26.47 billion in sales, up 14 percent from last year, followed by Micron Technology Inc with US$21.66 billion, down 3 percent, IC Insights said.
Among the top 15 suppliers, two are headquartered in Taiwan, two in Europe, one in Japan, two in South Korea and eight in the US, IC Insights said.
The top 15 IC suppliers are expected to reach a total of US$355.42 billion in sales, up 13 percent from last year, it added.
Intel Corp has talked with Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) and Samsung Electronics Co about the Asian companies making some of its best chips, but the Silicon Valley pioneer is still holding out hope for last-minute improvements in its own production capabilities. After successive delays in its chip fabrication processes, Santa Clara, California-based Intel has yet to make a decision less than two weeks ahead of a scheduled announcement of its plans, people familiar with the deliberations said. Any components that Intel might source from Taiwan would not come to market until 2023 at the earliest and would be based on
MediaTek Inc (聯發科) yesterday announced it would give incentive bonuses totaling NT$1.7 billion (US$59.7 million) to its employees and those at the firm’s major subsidiaries, after the smartphone chip supplier’s revenue hit US$10 billion last year. This is the biggest incentive bonus the Hsinchu-based handset chip designer has ever distributed in its 23-year history. About 17,000 full-time employees of MediaTek and five of its subsidiaries, including Richtek Technology Corp (立錡科技) and Airoha Technology Corp (絡達科技), would receive a “red envelope” of NT$100,000 each, the company said. “Surpassing US$10 billion is just the beginning. We will continue to [grow] on this basis,” MediaTek
TO SPUR REVENUE: The contract chipmaker expects its profit to grow 15 percent this year, outpacing the foundry industry’s projected advance of about 10 percent Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday raised its projected capital spending for this year by 62 percent, a new high, in an attempt to satisfy customer demand for advanced technologies in the production of central processing units, high-performance-computing (HPC) devices and 5G applications. After investing US$17.24 billion last year, TSMC this year plans to spend US$25 billion to US$28 billion on manufacturing equipment and new facilities, including a fab in the US. About 80 percent of the budget would be allocated for developing advanced technologies including 3, 5 and 7-nanometer technologies, the company said. The larger-than-expected capital spending prompted speculation
RIPPLE EFFECTS: Diminished supply, which has for the past few months affected auto firms worldwide, might prove to be a short-term issue due to COVID-19, an expert said A widening global shortage of semiconductors for auto parts is forcing major auto companies to halt or slow vehicle production just as they were recovering from COVID-19 pandemic-related factory shutdowns. Officials at Volkswagen AG, Ford Motor Co, Fiat Chrysler Automobiles NV, Toyota Motor Corp and Nissan Motor Co all say they have been hit by the shortage and been forced to delay production of some models in order to keep other factories running. “This is absolutely an industry issue,” Toyota spokesman Scott Vazin said in an e-mail on Friday. “We are evaluating the supply constraint of semiconductors and developing countermeasures to minimize