Whitepaper - Electronics and Semiconductor

Semiconductor Industry and Advancements in Semiconductor Chips

Semiconductor chips are memory chips or microprocessors used in electronic devices. These semiconductor chips are made from silicon or germanium and can be of various types, such as logic, memory, discrete, optoelectrical, and analog. In the last decade, the sales of semiconductor chips worldwide doubled to US$ 602 billion in comparison to previous decade due to the rising usage of digital technology and connected devices in major industries such as healthcare, automotive, retail, consumer electronics, and manufacturing.

The rise in technological advancements is contributing to the development of the semiconductor industry. Manufacturers are making strides in enhancing the overall performance of semiconductors by developing chips with denser circuits and using new materials and architecture. For instance, NAND flash, an advanced memory chip, uses new architectures for long-term storage of videos and music. Also, next-generation power management chips use new materials called compound semiconductors, such as silicon carbide, for vehicle electrification.

The semiconductor chip supply chain consists of chip designing and fabrication, assembly, and testing. In early 2022, manufacturers witnessed a scarcity of chips, which forced manufacturers to temporarily shut down their assembly line operations. Supply chain resiliency is one of the important factors in the production of chip technology. Many US-based companies offer various services, such as chip designing and semiconductor manufacturing equipment & software designing. Further, other services such as wafer fabrication and assembling, testing, and packaging are majorly provided by companies based in Asia Pacific countries such as Taiwan, China, Japan, and South Korea.


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