IDC predicts a 20% increase charge for the semiconductor market in 2024

IDC predicts a 20% increase charge for the semiconductor market in 2024

Last updated 13 month ago

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IDC predicts a 20% increase charge for the semiconductor market in 2024



Forward-looking: IDC these days unveiled its brand new predictions for the semiconductor industry. According to the market intelligence organization, 8 pivotal tendencies will affect the enterprise's resurgence, with synthetic intelligence prominently featured as one of the primary drivers.

Global call for for AI and HPC accelerators is exploding, IDC recently predicted, and traditional industries are stabilizing after the downturn suffered in 2023. The semiconductor industry, which incorporates merchandise protecting good judgment integrated circuits (IC), analog IC, microprocessors, microcontrollers, and memory chips, will quickly enjoy a new wave of growth.

IDC notes that memory chip manufacturers have carried out strict supply and production controls to raise expenses on the grounds that the start of November. Simultaneously, the call for for AI merchandise across all "major packages" is predicted to power typical semiconductor sales boom in the course of 2024. IDC senior research manager Galen Zeng anticipates that the whole semiconductor deliver chain will bid farewell to a disappointing 2023.

Among the eight developments IDC forecasts for 2024 is an growth in sales, contributing to an annual growth charge of 20 percentage for the entire market. The industry witnessed a 20 percent decline in the 2d half of 2023, and IDC now projects a 12 percentage decline for the whole 12 months. Factors which include decreased manufacturing levels, accelerated penetration of high priced HBM reminiscence chips, robust call for for AI chips, and the sluggish recovery of smartphone demand are anticipated to force a 20 percent increase fee in 2024.

IDC also foresees new marketplace developments for Advanced Driver Assistance Systems (ADAS) and infotainment gadgets. The growing trend closer to automobile intelligence and electrification is expected to end up a critical motive force for the future semiconductor market, in step with IDC. The corporation anticipates that AI chips and AI semiconductor common sense will amplify beyond facts facilities and excessive-performance computing (HPC) structures, with new AI-enabled smartphones, AI PCs, and AI wearable gadgets poised for imminent market launch.

IDC predicts a wonderful impact at the foundry enterprise from manufacturing recuperation, noting that important gamers such as TSMC, Samsung, and Intel are actively working to stabilize give up-consumer call for step by step. The chip manufacturing zone is anticipated to attain new heights, experiencing double-digit growth in 2024. China's manufacturing capacity is also expected to boom, at the same time as US export bans on present day production technology will power the country's foundries to emphasise competitive pricing and consciousness on "mature" nodes.

Finally, IDC anticipates a big uptick in call for for the maximum advanced semiconductor packaging answers, with the two.5/3-D package deal market projected to grow by means of 22 percentage yearly from 2023 to 2028. The manufacturing capacity for chip-on-wafer-on-substrate (CoWoS) technology is ready to growth by 130 percent by means of the second half of of 2024, with extra companies coming into the CoWoS supply chain. This, in turn, will result in a "strong" deliver of AI chips in 2024, further accelerating the adoption of AI generation, in line with IDC.

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