Reportedly, the differences between Korea’s giant Samsung Electronics and Taiwan’s TSMC in the global foundry market. This is subsequently in the fourth quarter of last year. Since the continuous decline in the foundry market which is 4.7 percent with respect to the previous quarter. This results in dropping in sales which are experienced by both companies. While it seems that TSMC is afflicted less as compared to Samsung Electronics.
As per Taiwanese market research firm Trendforce recently. This is with respect to the fourth quarter of last year, TSMC adhered to a 58.5 percent share of the foundry market and secured first place. Coming in the second position is Samsung Electronics by having a 15.8 percent share. Notably, the market gap between both the company’s is huge, which is 42.7 percent. Subsequently, more than 40.6 percent of the previous quarter.
“TSMC was able to increase its market share as its foundry competitors underperformed,” TrendForce said. “Samsung lost a large share of its orders as Qualcomm and Nvidia placed orders for sub-7-nm semiconductors for flagship products with other companies.”
The mid-tier companies faced a huge decline
Moreover, broadly the global foundry industry faces a downfall in revenue in the fourth quarter of last year being foundry customers. On the other hand, fabless companies that have expertise in semiconductor design subsequently reduced their orders because of inventory issues. Whereas, TSMC and Samsung Electronics, both were at the cutting edge of technology. These two facing a quarter-over-quarter revenue drop of 1 percent and 3.5 percent. Apart from this, the mid-tier companies faced a huge decline and were hit harder. Since they face a 12.7 percent drop in revenue for third-place UMC. A drop of 27.3 percent for PSMC and 30.3 percent for VIS. Noticeably, UMC, PSMC, and VIS are also Taiwanese companies.
In addition to this, China’s SMIC and Hwahong Semiconductor, both of this reported drops of 15 to 26 percent. As an impact of the same, China’s Nexchip dropped out of the top 10 list. Whereas DB HiTek, which is a mid-sized foundry company in Korea, comes under the top 10 players now.
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