Recently, according to foreign media reports, the coVID-19 outbreak this year has affected the annual plans of many enterprises to varying degrees, resulting in reduced shipments and lower revenues.However, driven by 5G, home office and data center industries, the business of chip OEM has not been affected, and compared with previous years, the performance of chip OEM this year has been significantly improved.
According to a recent report by a research institute, the output value of global OEM chips will reach 70 billion US dollars by 2020, up 17% year-on-year.And total output is expected to rise further in 2021, by 6.8% year-on-year, or to $74.7 billion.
Output of OEM chips rose mainly due to the rapid development of 5G market this year and the rapid promotion of home-based office, data center, cloud computing and other businesses.
A report by IC Insights also supports this assessment, saying that thanks to the growing demand for 5G smartphone application processors and other telecommunications equipment, the size of the pure wafer foundry market is expected to grow 19 percent this year from a year earlier, reaching its highest level since 2014 of 18 percent.
These include TSMC, UMC, SMIC and others.
The rapid growth was mainly driven by the rapid growth of 5G smartphone shipments. IC Insights predicted that 5G mobile phone shipments will reach 200 million units in 2020, a tenfold increase from 2019. The strength of 5G market is also driving the generation industry to a new high.
As for the market in the second half of the year, some relevant institutions predict that the chip demand will continue to strengthen, and the semiconductor supply chain is also increasing orders, so as to increase the inventory of this part for themselves, and prevent the production capacity of the chip OEM from tightening in the second half of the year, causing the product delivery delay.
Hopefully there would be more demands on relative components,such as pin header, female header,box header,ejector header,FFC,FPC,USB and RJ series and Terminal block connectors.
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