SMIC moves up to third place among global chip manufacturers
By ForGeeks China-based Semiconductor Manufacturing International Corporation (SMIC) has become the third largest contract chip maker in the world, catching up with U.S.-based GlobalFoundries in terms of market share. According to Counterpoint Research, SMIC’s share of the global contract chipmaker market in the first quarter of 2024 increased one percentage point quarter-on-quarter to 6%.
The market share of SMIC in the global contract chipmaker market in the first quarter of 2024 was up one percentage point from the previous quarter.
The first quarter results showed that SMIC’s revenues exceeded expectations, marking the first time the company has been ranked third in this competitive market segment. Despite this, SMIC is still well behind industry leaders TSMC and Samsung Foundry. TSMC continues to dominate the market, controlling 62% of the global market, while Samsung’s share is 13%.
MSMIC’s market share is the largest in the world.
CNBC notes that SMIC is a partially state-owned company that mainly makes chips for smartphones, computers, IoT and other electronic devices. The company attracted attention last year by releasing a processor with 5-nanometer transistors, something previously thought impossible because of U.S. sanctions. This year, there have been rumors that the company is continuing that work and may be on the cusp of launching a 5-nanometer processor.
The company has been working on a 5-nanometer processor.
U.S. sanctions have forced the Chinese government to increase support for domestic chipmakers such as SMIC. The company has received billions in subsidies from the government to support its efforts, which could play a key role in helping it move into the market.
