TSMC con­trols over half of global foundry mar­ket: Gart­ner

The China Post - - TAIWAN BUSINESS -

Tai­wan Semi­con­duc­tor Man­u­fac­tur­ing Co. (TSMC, ) re­mained the world’s largest semi­con­duc­tor foundry by tak­ing more than half of the global mar­ket in 2014, ac­cord­ing to tech re­search firm Gart­ner Inc.

The rev­enues of the world­wide semi­con­duc­tor foundry mar­ket grew 16.1 per­cent in 2014 to US$46.9 bil­lion, Gart­ner said in a re­port pub­lished on Mon­day.

Among the top play­ers, TSMC’s mar­ket share im­proved to 53.7 per­cent last year from 49.8 per­cent in 2013, and its sales in­creased by US$5 bil­lion to US$25.18 bil­lion due to the suc­cess of its ad­vanced process 28 nanome­ter (nm) and 20 nm tech­nolo­gies, Gart­ner said.

Re­turn­ing to the No. 2 po­si­tion, Tai­wan-based United Mi­cro­elec­tron­ics Corp. (UMC, ) had a 9.9 per­cent of the global foundry mar­ket share in 2014 with rev­enues of US$4.62 bil­lion, thanks to its re­cent catch-up in 28-nm tech­nol­ogy.

Sil­i­con Val­ley-based Glob­alfoundries Inc. fell to the third spot with US$4.4 bil­lion in rev­enues and a 9.4 per­cent share of the mar­ket, fol­lowed by Sam­sung Elec­tron­ics Co. of South Korea with a 5.1 per­cent share and SMIC of China in fifth with a 4.2 per­cent share.

“2014 has been the third con­sec­u­tive year when foundries have achieved im­pres­sive 16 per­cent rev­enue growth,” said Sa­muel Wang, re­search vice pres­i­dent at Gart­ner.

Sev­eral fac­tors made 2014 a ro­bust year for foundries, Wang said, in­clud­ing cus­tomer in­ven­tory build- ups in the sec­ond quar­ter, higher ul­tra-mo­bile de­vice sales, and the strength of Ap­ple Inc.’s sup­ply chain driven by the suc­cess of the iPhone 6 and 6 Plus.

Other fac­tors in­clude a con­ver­sion of in­te­grated de­vice man­u­fac­turer (IDM) rev­enue to foundry rev­enue and wafer de­mand from the early adop­tion of wear­ables, he said.

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