The global semiconductor market grew 26.3 percent in 2021 compared to the previous year, Sales amounted to $595 billion. According to Gartner, a global market research firm.
According to Yonhap News Agency, Samsung Electronics made $73.2 billion in its semiconductor business last year. Ranked first in the world ahead of “Intel”.
This is the first time that Samsung has overtaken Intel. Since 2018.
Samsung’s share of the semiconductor market was 12.3 percent, slightly higher than Intel’s 12.2 percent share.
South Korea’s SK Hynix sales recorded $36.4 billion last year, achieving a market share of 6.1 percent, ranking third.
US companies Micron (4.8 percent) and Qualcomm (4.6 percent) came in fourth and fifth, respectively.
This comes at a time when Spanish Prime Minister Pedro Sanchez confirmed, Spain plans to invest 11 billion euros ($12.4 billion) to develop microchips and semiconductors, This is part of a series of strategic projects to reform its economy.
Finally, he said, “We want our country to be at the forefront of industrial and technological progress.” Without giving further details. He added that “the cabinet will approve the project soon.”
The investment plan is the latest part of plans to rebuild the economy from the impact of the coronavirus pandemic. that hurt Spain more than other European countries, And also from the impact of the war in Ukraine.
“The war disrupted the supply of gases such as argon and neon,” Sanchez said. They are fundamental to semiconductor manufacturing.”
Policymakers across Europe are racing to make plans to invest in chips and reduce dependence on imported technology. The European Union aims to become a major semiconductor manufacturer with a goal of producing 20 percent of the world’s chip supply by 2030.
The city of Magdeburg in the former East Germany is now poised to play a major role in American and European efforts to tilt the global balance of power.
On March 15, Intel revealed plans to build a giant €17 billion ($18.7 billion) factory to make advanced semiconductors in the city. In addition to the new plants in Arizona and Ohio that the company has announced over the past six months.
It is part of CEO Pat Gelsinger’s plan to wrest control of production from Asia and tackle the global chip shortage that has worsened during the COVID-19 pandemic. And again after the Russian-Ukrainian war.
The United States and the European Union promise $100 billion in support in a race to reduce dependence on imports. Just as China plans to turn itself into a chip controlling power. Industry workers are increasingly concerned that this may be counterproductive. Along with concern that political constraints may further complicate global supply chains.
What happened with Russia is a clear example of how semiconductors are becoming increasingly important political tools. Perhaps it was one of the first commodities that Washington and Brussels targeted to isolate Russia from the global economy.
US Commerce Secretary Gina Raimundo said, In an interview on March 9, she said that if Chinese companies defy US restrictions on exporting to Russia, Washington can shut down businesses by isolating them from the US equipment and software they need.
The United States and Europe want to regain their share of the chip market. Where the United States accounted for nearly 40 percent of the world’s silicon chip production in the 1990s, While the European Union accounted for more than 20 percent, According to figures reported by Washington and Brussels. And the United States now has less than 15 percent, The European Union has about 10 per cent.
In an effort to shift production away from Asia, President Biden plans, To pump $52 billion into local semiconductor research, development and production as part of a Chinese anti-competition bill, Although it is still pending approval. On the other hand, The 27 member states of the European Union are reviewing the European Commission’s recent $48 billion proposal to build the union’s chip production capacity.
And China just spent as much as $150 billion by 2030 to start production. The country is still far behind. Especially when it comes to making advanced chips, But it is catching up quickly.
Raimondo stated, At Intel’s new site in Ohio, In January, “We are focused on revitalizing the American semiconductor industry because they are the basic building blocks of our modern economy.”
Intel CEO Gelsinger is a major force behind government investment in new factories.
He believes that public funding can help Intel reduce the cost of trying to catch up with its advanced chips after relying on Taiwan’s semiconductor manufacturer. known as TSMC, And Samsung Electronics in South Korea would also make the United States and Europe more self-reliant. and Intel’s new factory in Magdeburg, Production will start in 2027, It is part of a €80 billion investment package in Europe.