The report ( 2020: State of the US semiconductor industry ) has been produced to provide context as the US government considers legislation to provide investment in manufacturing and research (see CHIPS for America Act promises $22.8 billion in aid and Second piece of US legislation earmarks $25 billion for domestic chip making ).
The report considers that the US has maintained its investment in R&D and capital expenditure and also its position as the pre-eminent developer and vendor of semiconductor components. But the report highlights upcoming challenges to its leadership particularly in manufacturing.
The report reckons the US firms were responsible for 47 percent of global semiconductor sales market worth $412.3 billion in 2019.
However, in terms of ownership of leading-edge manufacturing process technology the report reckons that ten years ago Taiwan and South Korea were two years behind the US but have now caught up. China has remained 4 years behind the leading-edge in terms of its manufacturing capability.
Most importantly the majority of chip manufacturing is now done in Asia and that is set to grow to 83 percent over the next decade.
The report is a concise encapsulation of the state of the global semiconductor industry and although written for a US audience the data should be of interest to all.
It also shows the size and complexity of the problem for regions other than the US and China that wish to seek strategic autonomy in key semiconductor components.
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