Report: Semiconductor industry expected to reach $600B in 2022

Did you miss a session from the Future of Work Summit? Visit our Future of Work Summit on-demand library to stream.


Deloitte’s new report predicts that companies will reach historic highs this year, despite chip shortages and supply chain issues. Despite the expected slowdown in growth, for the first time, the industry is expected to earn more than $ 600 billion globally. Growth is projected to reach 10% in 2022, compared to 25% growth in 2021.

Four major trends are expected to shape the industry in the coming year. First, with the rise of semiconductor content in everything from cars to devices, in addition to common products such as computers, data centers and smartphones, chips are becoming more important than ever.

Second, scarcity and supply chain issues will be at the forefront and center for the first half of 2022, and hopefully the second half will ease. However, by 2023 there will likely be longer lead times for some well-expanded components.

Third, there is a shortage of talent in the industry that cannot be resolved quickly. The construction of more local chip fabrication plants in the US, China, Singapore, Israel and other countries will eventually create a huge and deep talent pool. In the meantime, existing workers will need to improve and expand their combination of engineering and manufacturing skills.

Finally, digital transformation in the semiconductor industry will continue and accelerate. About three out of five chip companies have embarked on their digital transformation journey, but more than half of them are changing their transformation process in response to various pressures.

Overall, the industry will experience steady strong growth in 2022, whether to overcome chip shortages, manage lead time with suppliers and end customers, build production capacity locally or near shore, hire specialized engineering and design talent and strengthen its supply network. Take steps to do. Using advanced digital solutions.

Deloitte’s 2022 semiconductor industry vision seeks to identify strategic issues and opportunities for semiconductor companies to consider in the coming year, including their implications, key steps to be taken, and critical questions to ask. The goal is to equip US semiconductor companies (aka semis or chip) companies with the information and foresight needed to position themselves for a strong and resilient future.

Read the full report by Deloitte.

Venturebeat

VentureBeat’s mission is to become a digital town square for technical decision makers to gain knowledge about transformative technology and practices. Our site delivers essential information on data technologies and strategies so you can lead your organizations. We invite you to access, to become a member of our community:

  • Up-to-date information on topics of interest to you
  • Our newsletters
  • Gated idea-leader content and discounted access to our precious events, such as Transform 2021: Learn more
  • Networking features and more

Become a member

Similar Posts

Leave a Reply

Your email address will not be published.