TrendForce's Tuoqi Industry Research Institute released a report that pointed out that the foundry market in the fourth quarter is still strong, and the production capacity of each factory continues to be fully loaded. The tight production capacity will drive the overall revenue upward due to the price increase effect. The top ten foundry companies will have revenues of more than US$21.7 billion, an annual increase of 18%, of which the top three in the market are TSMC, Samsung and UMC.

The analysis pointed out that thanks to the demand for 5G mobile phones and HPC chips, TSMC’s 7nm process revenue continued to grow. In addition to the revenue that has been included in the 5nm process since the third quarter, the growth momentum continued to grow in the fourth quarter, and the 16nm to 45nm process Demand is picking up, and revenue in the fourth quarter is expected to hit a record high with an annual growth of about 21%.

With the increasing demand for mobile phone SoC and HPC chips, Samsung will expand mass production of its 5nm process products and step up its EUV deployment, then develop 4nm process mobile phone SoCs, and increase the mass production capacity of 2.5D advanced packaging. Samsung is focusing on growth momentum. Annual revenue growth in the fourth quarter was approximately 25%.

In addition, due to the continuous influx of foundry orders for driver IC, PMIC (power management IC), RF radio frequency, IoT applications, etc., UMC’s 8-inch wafer capacity is fully loaded, establishing its price increase trend, and the 28nm process continues to complete customer design decisions. , Follow-up stable off-line production, it is estimated that in the fourth quarter, the annual growth of revenue below 28nm (inclusive) can reach 60%, and the overall revenue will grow to 13%.

As a result of the company's weight loss, GlobalFoundries previously sold some of its factories and did not add additional production capacity. Revenue in the fourth quarter decreased by 4% annually; however, customers are more concerned about the use of mature and special process biomedical sensing application chips In addition, 5G deployment brings a large amount of RF chip demand, so that related wafer production capacity can be maintained at a certain level.

TrendForce also believes that SMIC has no longer supplied to Huawei’s chip design company HiSilicon since September 14. When other customers conduct trial production at 14nm, SMIC will have two to three quarters of capacity gaps, and the United States will After it is included in the export control list, in addition to equipment restrictions, non-mainland customers may also draw orders. It is expected that the fourth quarter revenue will be affected, with a quarterly decrease of about 11%. However, due to the low base period in 2019, the revenue of this quarter will be annual The growth is still 15%.

In addition, due to the stable market demand for RF and Power ICs, TowerJazz's revenue is expected to grow by 11% in the fourth quarter. Power Semiconductor Manufacturing Co., Ltd. focuses on foundry development in its business portfolio, and its wafer capacity is fully loaded. In addition, the continuous influx of orders has injected good business performance into it, so the annual revenue growth in the fourth quarter rose to 28%.

The world’s advanced (VIS) 8-inch wafer foundry is in short supply. It is expected that the revenue in the fourth quarter will grow by 24% driven by the price increase effect and the product scale of PMIC and LDDI; Hua Hong Semiconductor (mainly benefiting from MCU, With strong demand for power semiconductor components such as MOSFETs and IGBTs, the 8-inch capacity utilization rate will remain at full capacity; with the introduction of CIS and power semiconductor products, the 12-inch capacity utilization rate is expected to continue to increase, which is expected to drive revenue growth to 11 in the fourth quarter. %; DB HiTek is currently mainly doing wafer foundry for AI, IoT, Robot and other chips in Industry 4.0. The capacity utilization rate has been maintained at full capacity for 16 consecutive months, and the fourth quarter revenue is expected to grow to 16% annually.

Tuo Dai Industry Research Institute pointed out that the overall wafer foundry revenue performance in the fourth quarter will steadily improve, and demand for some products has exploded. Customers tend to stock up in advance to increase inventory preparation, making the foundry capacity in short supply. However, companies still need to pay close attention to whether the current global epidemic will have a negative impact on terminal consumption power and the subsequent development of Sino-US relations.