Global foundry market to grow 6% in 2021

Demand from remote service due to pandemic to lead growth

2020-12-31     Dongwon Kim
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Global foundry sales in 2021 will grow 6% from 2020 to US$89.6 billion, market research firm TrendForce said.

Notebook, TV and other electronics devices and 5G will lead this growth it said.

The foundry market is 2020 is expected to grow 23.7% from a year ago to be worth US$84.6 billion. This is thanks to high demand for remote services from the COVID-19 pandemic.

Semiconductor demand related to network and the global economic recovery will lead to record foundry sales, TrendForce said.

Currently, demand is higher than supply in the global foundry market. There isn’t enough supply of 200mm foundry in the market. DB HiTek has been running its factory at 100% capacity since last year but can’t meet all its orders.

Foundry for 300mm wafer is in a similar situation. Demand is high from 5G. 

TSMC and Samsung Electronics is expanding 5nm production from demand in high performance computing and this is leading to lack of supply in the market, TrendForce said.

The two companies won orders from Apple, AMD, MediaTek, Nvidia and Qualcomm this year for 7nm and 5nm nodes. 

TrendForce said the SMIC’s entry into US’S Entity List remained an uncertainty in the global foundry market.