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Foundry sales set for 23% increase
Robust demand for advanced processors used in networking and data center computers, new 5G smartphones, and ICs used in other high-growth market applications such as robotics, self-driving vehicles and ADAS, AI, ML and image recognition systems, is forecast by IC Insights to lift total foundry sales to $107.2 billion in 2021, a 23% increase that would match the record growth rate set in 2017 (Figure 1).
www.electronicsweekly.com, Sept. 22, 2021 –
It is worth noting that the strong growth rate in 2017 was primarily due to Samsung re-classifying its System LSI internal transfers as foundry sales, rather than strong organic market growth.
Total foundry sales this year are forecast to surpass the $100-billion mark for the first time and continue increasing at a strong 11.6% average annual growth rate through 2025 when total foundry sales are expected to reach $151.2 billion.
The pure play foundry market is forecast to expand by a strong 24% this year to $87.1 billion, which would surpass the 23% growth witnessed in the pure-play foundry market just last year (2020).
The pure-play foundry market is expected to grow to $125.1 billion in 2025, resulting in a 5-year (2020-2025) CAGR of 12.2%, accounting for 82.7% of total foundry sales in 2025, compared to 81.2% in 2021. TSMC, UMC, and several specialty foundries are expected to post healthy sales growth this year.
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