Strong current: Greater demand for industry products in vehicles will spur growth

The Semiconductor and Circuit Manufacturing industry is one of the top export industries in the United States. However, even as global demand for semiconductors rises, industry manufacturers are operating in a highly competitive global industry. Combined with price reductions, production outsourcing and international competition have prevented the industry from achieving higher revenue growth in the past five years. Although operators will continue to contend with strong international competition in the next five years, new opportunities in next-generation semiconductors and electronic inputs will encourage operators to invest in product development...purchase to read more.

Industry Statistics & Market Size
Revenue
$50bn
Annual Growth 12-17
-0.8%
Forecast Growth 17-22
Profit
Employment
95,913
Businesses
868
Market Share of Companies

Industry Threats & Opportunities

  • Greater R&D efforts and broad-based economic growth will sustain the industry
  • A confluence of factors has contributed to the industry's high volatility
  • Manufacturers will refocus their production away from silicon-based products
  • Industry Report - Industry Investment Chapter

    This industry requires low to moderate levels of capital investment. In 2017, IBISWorld estimates that $0.12 will be spent on capital investment for every dollar spent on wages. Wafer foundries, etching equipment and clean-room production environments are expensive to maintain and require regular replacement or upgrades. Since the rate of technological change within the industry is high and increasing, significant investment in capital items is expected to continue.A typical new semiconductor manufacturing facility costs at least $3.0 billion and requires additional billions of dollars of investment in new equipment over the life of the facility...purchase to read more.

    Additional Insights for the Semiconductor & Circuit Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Semiconductor & Circuit Manufacturing Industry are

  • Access to highly skilled workforce
  • Having contacts within key markets
  • Ready access to investment funding
  • IBISWorld analysts also discuss how external factors such as Private investment in computers and software and Consumer spending in the Semiconductor & Circuit Manufacturing industry impact industry performance..

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    What's in this report

    What is the Semiconductor & Circuit Manufacturing Industry?

    This industry includes companies that manufacture semiconductors and related devices and parts. Products in this industry include integrated circuits, memory chips, microprocessors, diodes, transistors and other optoelectronic devices.

    Industry Products
  • Microprocessors
  • Memory
  • Integrated circuits
  • Industry Activities
  • Manufacturing diodes
  • Manufacturing fuel cells and solid-state devices
  • Manufacturing integrated microcircuits
  • Manufacturing optoelectronic devices
  • Manufacturing semiconductor devices
  • Manufacturing semiconductor memory chips
  • Manufacturing silicon wafer
  • Manufacturing solar cells
  • Manufacturing thyristors
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Private investment in computers and software
  • Consumer spending
  • Trade-weighted index
  • Price of semiconductor and electronic components

  • Current Performance
  • Offshoring and volatility
  • Demand remains steady, but prices continue to fall
  • Imports and exports
  • Chart: Revenue Growth

  • Industry Outlook
  • Growth and wide bandgap semiconductors
  • Varying demand
  • Trade trends
  • Industry structure
  • Table: Semiconductor & Circuit Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Semiconductor & Circuit Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Manufacturing
  • Navigational Instrument Manufacturing
  • Wireless Telecommunications Carriers

  • Key Selling Industries
  • Aluminum Manufacturing
  • Chemical Product Manufacturing
  • Copper Rolling, Drawing & Extruding
  • Semiconductor Machinery Manufacturing

  • Products & Services
  • Microprocessors
  • Other
  • Memory
  • Integrated circuits
  • Chart: Semiconductor & Circuit Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
  • Prices and performance
  • Technological changes and product innovation
  • Life span
  • Research and development expenditure
  • Domestic and international policies

  • Major Markets
  • Exports
  • PC/Computer
  • Communications equipment manufacturing
  • Industrial and military
  • Consumer electronics
  • Automobile
  • Chart: Major Market Segmentation for the Semiconductor & Circuit Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitResearch and developmentWagesDepreciationRent and utilitiesOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Semiconductor & Circuit Manufacturing

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Semiconductor & Circuit Manufacturing Industry

  • Industry Globalization
    Samsung Electronics Co. Ltd., Intel Corporation,
  • Table: Samsung Electronics Co. Ltd. - financial performance
  • Table: Intel Corporation - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Semiconductor & Circuit Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Semiconductor & Circuit Manufacturing Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Exports (2008-2022)
  • Imports (2008-2022)
  • Wages (2008-2022)
  • Trade-Weighted Index (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Arm
  • A processor architecture commonly used in mobile phones and consumer electronics. ARM processors are known for excellent power conservation.
  • Dram
  • Dynamic random-access memory (DRAM) is a type of memory that stores bits of data in a separate capacitor within an integrated circuit.
  • Fabless
  • Industry slang used to describe a company that does not own foundries for the production of wafers from which their integrated circuits are made.
  • Integrated Circuit
  • A miniaturized electronic circuit, consisting of semiconductor and passive components, manufactured in the surface of a thin substrate of semiconductor material.
  • Microprocessor
  • A multipurpose, programmable device that takes input and provides output and is used to control a range of equipment, such as computers, cell phones and consumer electronics.
  • Nand
  • A type of flash memory storage technology that does not require power to retain data.
  • Smartphone
  • A mobile phone that offers advanced PC-like capabilities.
  • System-On-A-Chip (Soc)
  • An integrated circuit that combines all components of an electronic system into a single chip.
  • X86
  • A processor architecture commonly used in personal computers.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Semiconductor & Circuit Manufacturing Industry Research Report offers insight into the market at the national level. Our analysis highlights macro trends in the overall sector and the micro trends faced by companies that do business in the Semiconductor & Circuit Manufacturing industry. Our five-year outlook forecasts explain how the market is set to change and the product segments that will drive growth.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Semiconductor & Circuit Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Semiconductor & Circuit Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Semiconductor & Circuit Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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