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Taiwan Semiconductor Industry: 4Q 2024 Performance and 2025 Outlook

  • Report

  • 13 Pages
  • January 2025
  • Region: Taiwan
  • Market Intelligence & Consulting Institute (MIC)
  • ID: 6044671
In the third quarter of 2024, Taiwan's semiconductor industry achieved a total production value of USD 37.979 billion, marking a 6.4% increase from 2Q 2024 and a significant 20.4% growth compared to 3Q 2023. This report offers an overview of the Taiwanese semiconductor industry across the IC design, manufacturing, and packaging/testing (also known as outsourced semiconductor assembly and test, or OSAT) sectors for 3Q and 4Q 2024. It also examines key development trends in the industry and offers insights into the outlook for 2025.

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Table of Contents

1. Key Issues Analysis
1.1 IC Design
1.1.1 Global Smartphone Market Sees Moderate Recovery with Strong 4G Demand in Emerging Markets
1.1.2 AI PCs See Gradual Growth Momentum; PC Component Suppliers Perform Well
1.2 IC Manufacturing
1.2.1 End-Product Peak Season Boosts Chip Demand, Driving Foundry Utilization Rates
1.2.2 Weak Demand Pressures Market Prices, Cooling Memory Sales for Taiwanese Manufacturers
1.3 IC Packaging and Testing (OSAT)
1.3.1 Packaging and Testing Firms Adjust China Operations to Address Geopolitical and Industrial Changes.
1.3.2 Communication Applications Show Moderate Demand Recovery, Boosting Related Packaging and Testing Revenues

2. Industry Outlook
2.1 IC Design
2.1.1 Year-end Outlook Remains Cautious, Though Long-Term Demand Appears Optimistic
2.1.2 Consumer Market Shows Slow Recovery with Flat Demand Impacting Prices and Margins; DDIC Players Diversify to Stay Competitive
2.2 IC Manufacturing
2.2.1 Wafer Foundry Capacity Utilization Expected to Rise in 2025
2.2.2 Emerging AI and High-Performance Computing Trends Drive Demand for Advanced Testing Solutions
2.3 IC Packaging and Testing
2.3.1 Automotive Chip Inventory Adjustments Continue, Future Momentum Depends on Demand Recovery
2.3.2 AI and HPC Trends Boost Demand for Advanced Testing

Appendix

List of Companies

Companies Mentioned (Partial List)

A selection of companies mentioned in this report includes, but is not limited to:

  • Anpec Electronics
  • ASE Group
  • ChangXin Memory Technologies
  • ChipMOS Technologies
  • Elan Microelectronics
  • Fujian Jinhua Integrated Circuit
  • Infineon
  • KYEC
  • Lingsen Precision
  • Industries
  • Macronix
  • MediaTek
  • Micron Technology
  • Nanya Tech
  • Novatek Microelectronics
  • Nvidia
  • NXP
  • Powerchip Semiconductor
  • Powertech Technology
  • PSMC
  • Renesas
  • Samsung
  • Sensortek Technology
  • Siliconware Precision
  • SK Hynix
  • STMicroelectronics
  • Sunplus Innovation
  • Texas Instruments
  • TSMC
  • Vivo
  • Winbond
  • Xiaomi

Methodology

Primary research with a holistic, cross-domain approach

The exhaustive primary research methods are central to the value that the analyst delivers. A combination of questionnaires and on-site visits to the major manufacturers provides a first view of the latest data and trends. Information is subsequently validated by interviews with the manufacturers' suppliers and customers, covering a holistic industry value chain. This process is backed up by a cross-domain team-based approach, creating an interlaced network across numerous interrelated components and system-level devices to ensure statistical integrity and provide in-depth insight.

Complementing primary research is a running database and secondary research of industry and market information. Dedicated research into the macro-environmental trends shaping the ICT industry also allows the analyst to forecast future development trends and generate foresight perspectives. With more than 20 years of experience and endeavors in research, the methods and methodologies include:

Method

  • Component supplier interviews
  • System supplier interviews
  • User interviews
  • Channel interviews
  • IPO interviews
  • Focus groups
  • Consumer surveys
  • Production databases
  • Financial data
  • Custom databases

Methodology

  • Technology forecasting and assessment
  • Product assessment and selection
  • Product life cycles
  • Added value analysis
  • Market trends
  • Scenario analysis
  • Competitor analysis

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