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China outdoes Europe, Japan in fabless chip market

Posted: 22 Jan 2015 ?? ?Print Version ?Bookmark and Share

Keywords:Semiconductor? fabless chip market? IC Insights? HiSilicon? Huawei Technologies?

Nine Chinese companies held some of the top 50 spots in a ranking of fabless IC companies by revenue in 2014, according to IC Insights. This is up from a single company present in 2009, which was Huawei-owned HiSilicon. In 2014, the list included Allwinner, Rockchip, Spreadtrum, RDA, Datang, CIDC, ZTE and Nari Smart Chip.

In 2014, the Chinese government outlined multiple semiconductor industry programmes that would command nearly $20 billion of Chinese national government investment and about $100 billion of investments from Chinese local government and private equity investors, IC Insights said in a statement. The injection of these funds is expected to significantly change the fabless chip company landscape in coming years.

In total, the Chinese fabless IC suppliers held 8 per cent of the top 50 fabless IC market of about $80.5 billion in 2014.

Nineteen U.S. companies were present in the top 50 landscape and they accounted for 64 per cent of the total top 50 fabless company IC sales. Taiwanese fabless chip companies held 18 per cent, while European companies held about 3 per cent in 2014 and Japanese fabless chip companies held less than 1 per cent. The rest of the world, including South Korea and Singapore, represented 6 per cent of the market.

The Chinese government intends to create a dynamic environment for the fostering of its IC industry, including increased emphasis on establishing fabless IC suppliers, IC Insights said.

- Peter Clarke
??EE Times Europe

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