Semiconductors make vital components of the nowadays technologies we can not see our lives without. The demand for semiconductors has grown immensely over the past few years. Organizations conduct researches evaluating current situation and providing their predictions for years to come.
In 2022 McKinsey & Company provided their predictions of the global semiconductor market value by vertical for 2030 (graphic 1 below). According to McKinse
y, the overall growth in the global semiconductor market is driven by the automotive (20%), data storage (25%), and wireless (25%) industries. This makes 70% which means these 3 industries are dominating the market. (Source: McKinsey , 2022)
Automotive is the strongest-growing segment. According to McKinsey forecast, automotive electronics revenue will triple from $50 to $150 billion by 2030, fueled by applications such as autonomous driving and e-mobility.
Accounting for just 8 percent of semiconductor demand in 2021, the automotive industry could represent from 13 to 15 percent of demand by 2030. If this prediction comes true, the segment would be responsible for as much as 20 percent of industry expansion over the coming years.
Global semiconductor revenue
In April 2023 Gartner, another big research organization, forecasted that global semiconductor revenue is to decline 11.2% in 2023.
In 2022, the market totaled $599.6 billion, which was marginal growth of 0.2% from 2021. Nevertheless, in 2024 it will catch up with the marginal growth of 18.5% and total mar
ket of $630.9 billion. Despite overall decline, both the automotive and industrial, military/civil aerospace semiconductor markets will achieve growth. The automotive semiconductor market is forecast to grow 13.8%, reaching $76.9 billion in 2023. (Source: Gartner)
Automotive semiconductor manufacturers market share worldwide
There is a number of automotive semiconductor manufacturers everyone in the industry knows. But do we actually know what is their market share? In 2022 Statista provided a report on the biggest automotive semiconductor manufacturers in the world and their market share in 2020-2021.
Infineon, NXP, and Renesas were the leading automotive semiconductor manufacturers worldwide in 2021. Infineon’s market share was estimated at around 12.7 percent, NXP’s – 11,8 percent and Renesas’ – 8,4 percent making the total of 33,9% of the global market share. The total market in 2021 was sized at around 46.7 billion U.S. dollars. These numbers include both, digital and analog chips. (Source: Statista, 2023)
Despite supply chain disruption due to COVID19, leading to semiconductor shortages, semiconductor market is experiencing significant growth driven by increasing demand for semiconductors across various industries, including automotive, consumer electronics, and data centers. We see that semiconductor technologies are advancing, with the development of smaller and more efficient chips, possibly pushing the boundaries of Moore’s Law. Driven by the digitalization trends over the past few years, the demand for semiconductor solutions is significant. Where automotive semiconductors is one of the strongest-growing submarkets. Read more about automotive semiconductors in our blog.
Anastasiya Sasnakevich is a digital marketing specialist with over 5 years’ of international experience. Having worked in different fields, Anastasiya found herself in automotive semiconductor industry where she has been working for almost 2 years. She holds Master Degree in International Business and Economics from BFSU, Beijing, and an MBA in Digital Marketing and Business from EFAP, Paris.