+44 (0)24 7671 8970
More publications     •     Advertise with us     •     Contact us
*/
News Article

Worldwide semiconductor revenue grew 1.1%

News

Memory market was worst performing segment, declining 10%.

Worldwide semiconductor revenue increased 1.1% in 2022 to total $601.7 billion, up from $595 billion in 2021, according to preliminary results by Gartner, Inc. The combined revenue of the top 25 semiconductor vendors increased 2.8% in 2022 and accounted for 77.5% of the market.


“2022 began with many semiconductor devices in shortage resulting in extended lead times and increasing pricing which led to reduced electronic equipment production for many end markets. As a result, OEMs started hedging themselves from shortages by stockpiling chip inventory,” said Andrew Norwood, VP Analyst at Gartner.


“However, by the second half of 2022, the global economy began to slow under the strain of high inflation, rising interest rates, higher energy costs and continued COVID-19 lockdowns in China, which impacted many global supply chains. Consumers also began to reduce spending, with PC and smartphone demand suffering, and then enterprises starting to reduce spending in anticipation of a global recession, all of which impacted overall semiconductor growth.”


Samsung Electronics maintained the top spot although revenue declined 10.4% in 2022, primarily due to declines in memory and NAND flash sales. Intel held on to the No. 2 position with 9.7% market share. The company was impacted by the significant decline of the consumer PC market and strong competition in its core x86 processor businesses and revenue growth declined 19.5%.


Memory Revenue Declined 10% in 2022

Memory, which accounted for around 25% of semiconductor sales in 2022, was the worst-performing device category, experiencing a 10% revenue decrease. By the middle of 2022, the memory market was already showing signs of a significant collapse in demand as electronic equipment OEMs started to deplete memory inventory they had been holding in anticipation of stronger demand. Conditions have now worsened to the point where most memory companies have announced capital expenditure (capex) reductions for 2023, and some have cut wafer production to reduce inventory levels and try to bring the markets back into balance.


Nonmemory Revenue Up 5% in 2022

Overall nonmemory revenue grew 5.3% in 2022, but the performance varied wildly across the different device categories. The strongest growth came from analog with a 19% increase, closely followed by discretes, up 15% from 2021. The growth for both analog and discretes was driven by strong demand from the automotive and industrial end markets underpinned by secular growth trends in vehicle electrification, industrial automation, and energy transition.

Lenovo commits to Net-Zero emissions by 2050
Melexis invests 70M EUR in facility expansion
GUC delivers its first TSMC N3 chip
Worldwide semiconductor revenue grew 1.1%
Industry execs have positive outlook for 2023
UMC earns top environmental rating
Europe has to stand up for Dutch exports
Global semiconductor sales decrease 2.9%
Presto Engineering implements leadership changes
The electronics value chain is still in transition
Infineon highlights smart semiconductor solutions
AMD achieves AWS High Performance Computing Competency status
Chipletz selects Siemens’ EDA solutions
Memory for automotive: A fast-growing and robust market
Toray Engineering establishes European subsidiary
Infineon and Resonac expand cooperation
Infineon increases focus and investment into core semiconductor development
Micron delivers high-performance data centre SSD
SK hynix’s Vice Chairman Park Jung-ho meets with Qualcomm CEO
TSMC publishes December 2022 revenue report
Camera collaboration for software-defined vehicles
Picture perfect automotive SoC?
AMD highlights future of high-performance and adaptive computing
Delivering automotive safety and security solutions
Industry expects supply chain challenges to ease by 2024
Toshiba to expand power semiconductor production capacity
SK hynix to showcase energy-efficient, high-performance memory at CES 2023
VIS joins RE100 and pledges to source 100% renewable energy by 2040
Arm Holdings to power Saudi Arabia’s healthcare transformation
TSMC holds 3nm volume production and capacity expansion ceremony
UMC leads (again) semiconductor foundries in the 2022 Dow Jones Sustainability Indices
Brewer Science presents 'Future of Water Condition Monitoring' at CES 2023

{inStory3}
×
Search the news archive

To close this popup you can press escape or click the close icon.
Logo
×
Logo
×
Register - Step 1

You may choose to subscribe to the Silicon Semiconductor Magazine, the Silicon Semiconductor Newsletter, or both. You may also request additional information if required, before submitting your application.


Please subscribe me to:

 

You chose the industry type of "Other"

Please enter the industry that you work in:
Please enter the industry that you work in: