Array
(
    [content] => 
    [params] => Array
        (
            [0] => /forum/index.php?threads/gartner-says-worldwide-semiconductor-revenue-grew-7-3-in-2020.13612/
        )

    [addOns] => Array
        (
            [DL6/MLTP] => 13
            [Hampel/TimeZoneDebug] => 1000070
            [SV/ChangePostDate] => 2010200
            [SemiWiki/Newsletter] => 1000010
            [SemiWiki/WPMenu] => 1000010
            [SemiWiki/XPressExtend] => 1000010
            [ThemeHouse/XLink] => 1000970
            [ThemeHouse/XPress] => 1010570
            [XF] => 2021370
            [XFI] => 1050270
        )

    [wordpress] => /var/www/html
)

Gartner Says Worldwide Semiconductor Revenue Grew 7.3% in 2020

Daniel Nenni

Admin
Staff member
Following a decline of 12% in 2019, worldwide semiconductor revenue rebounded in 2020 to total $449.8 billion, an increase of 7.3% from 2019, according to preliminary results by Gartner, Inc.

“In early 2020, the expectation was that COVID-19 would have a negative impact across all end equipment markets, but the actual effect was more nuanced,” said Andrew Norwood, research vice president at Gartner. “Automotive, industrial and some areas of the consumer market were hit hard by reduced enterprise and consumer spending. However, lockdowns vastly increased work from home and e-learning, and any markets that facilitated those activities benefited.

“Server demand was strong as hyperscale customers, which in 2020 accounted for over 65% of server demand, rushed to add capacity to cope with extra demand during lockdowns in the first half of 2020. Additionally, strong demand for PCs from enterprises and consumers due to increased work and study from home led to strong growth in CPUs, NAND flash and DRAM.”

Intel retained its position as the No. 1 global semiconductor vendor by revenue in 2020, followed by Samsung Electronics, SK hynix and Micron (see Table 1). Intel’s semiconductor revenue grew 3.7%, driven by growth of its core client and server CPU businesses. Despite a slowdown in the overall smartphone market, strong sales of 5G smartphones helped propel semiconductor companies, such as Qualcomm and MediaTek, to strong growth in 2020. The growth of 5G is offsetting the weaker system unit growth with increased semiconductor dollar content, including higher-ASP 5G chipsets and additional RF front-end components and power management ICs.

Table 1. Top 10 Semiconductor Vendors by Revenue, Worldwide, 2020 (Millions of U.S. Dollars)

Top Semiconductor Revenue 2020.jpg


Source: Gartner (January 2021)

Memory Accounted for 44% of Revenue Growth
Memory, the best performing device category in 2020, benefited from the increased server build and PC and ultramobile demand from the shift to home working and learning. Worldwide memory revenue increased $13.5 billion in 2020, which accounts for 44% of the overall semiconductor revenue growth in 2020.
Within memory, NAND flash experienced the best performance with revenue growth of 23.9%, reaching $52.8 billion, up $10.2 billion from 2019. Supply was particularly limited in 2020, which caused prices to surge during the first half of 2020, limiting the overall annual price decline to a modest 2% in 2020. While demand was strong from hyperscale customers and PC OEMs, the pandemic impact did result in oversupply conditions during the second half of 2020, which tempered overall annual revenue growth.

Gartner clients can get more information in “Market Share Analysis: Semiconductors, Worldwide, Preliminary 2020.”

About Gartner​

Gartner, Inc. (NYSE: IT) is the world’s leading research and advisory company and a member of the S&P 500. We equip business leaders with indispensable insights, advice and tools to achieve their mission-critical priorities today and build the successful organizations of tomorrow.

Our unmatched combination of expert-led, practitioner-sourced and data-driven research steers clients toward the right decisions on the issues that matter most. We are a trusted advisor and an objective resource for more than 14,000 enterprises in more than 100 countries — across all major functions, in every industry and enterprise size.

To learn more about how we help decision makers fuel the future of business, visit gartner.com.
 
It seems like they have included foundry business revenue into Samsung Semiconductors' revenue. If that's the case, why didn't they include TSMC, UMC, or Globalfoundries in the report?

I can understand they don't want to count the output value between fabless and foundries twice. But I believe they have to find a way to include pure play foundries and those fabless company built products for in-house consumption (like Apple). Otherwise they will run into a problem of undercounting the true market size, growth, and ranking.
 
Back
Top