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Under the epidemic situation, the market demand for semiconductor products is increasing instead of decreasing

Time:2020-07-05 Views:406
Despite the outbreak of the new coronavirus (covid-19) and the economic downturn comparable to that of the great depression, some chip companies managed to achieve revenue growth in this disastrous first quarter of 2020.
The novel coronavirus pneumonia has brought chaos to the global economy, but also stimulated the sale of computers and servers because of the demand for people to work at home and the need for online learning by students. Whether at home or online, they need to link data centers and Gong Youyun services, according to HPE (Hewlett-Packard), which was once diagnosed with new crown pneumonia and recovering. "Connectivity has become as important as water and electricity," observes Antonio Neri, chief technology officer of enterprise
According to the statistics of omdia, the overall semiconductor industry‘s revenue shows a slight decline in the first quarter of 2020. However, the total revenue of the world‘s top ten chip suppliers still achieves a growth of about 2%; including Intel, Samsung, micron and other leaders, the total revenue in the first quarter of 2020 is $63.6 billion, an increase over the previous quarter $1.4 billion.
The memory chip industry had the largest revenue growth in the first quarter, with the outstanding performance of Qualcomm and Hisilicon, a chip supplier affiliated to Huawei Group. Although the United States tried to prevent the company from acquiring advanced manufacturing equipment and EDA tools in the United States, its revenue grew by 40.3% in the first quarter, ranking the eighth largest chip design industry in the world The ranking. Omdia pointed out that Hisilicon "is building enough inventory to withstand the impact of the new US trade ban, which is expected to take effect in September."
At the same time, the first quarter revenue of Qualcomm achieved 5g wireless deployment power, showing a healthy growth of 14.6%.
"Qualcomm is benefiting from the Chinese government‘s strategy to start the economy by emphasizing 5g deployment, including taking advantage of the 5g mobile phone market subsidized by the Chinese government and accelerating the deployment of 5g infrastructure across China," said Ron Ellwanger, senior analyst at omdia semiconductor manufacturing
Other driving forces for the continued growth of the global chip industry in the wake of the epidemic are the increasing demand for computer and data center server capacity as telecommuting employees reconfigure their business models. This transformation has led to a surge in demand for cloud services, benefiting chip makers who provide in memory processing platforms to support tasks such as data analysis.
Indeed, demand for NAND flash memory for data center SSDs is growing quarter by quarter; omdia said sales of NAND flash memory in the first quarter increased by 6.9% over the previous quarter, "the highest growth rate among all semiconductor component categories in the quarter." The conclusion is that consumers who work and go to school from home because of the epidemic are increasingly relying on the semiconductor industry to survive this extraordinary period.
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