2023 for:WafersIt has been a difficult year for the factory, as the sluggish demand has led to a decline in ordersCapacity utilizationDecline. However, in 2024ChipsThe industry ushered in an upturn, demand recovery increased, and people thought that good days were coming. However, unexpectedly,** BattleStart fighting again. In order to ensureWafersMaximization of plant utilization, mainstreamWafersFactories have lowered the ** competition for orders. involvedWafersThe plant includes:TSMCSamsung, UMC,SMIC, GF,HuahongCrystalline integrationWait. Although the competition among manufacturers of advanced technology is not fierce, the pressure of competition in mature technology is high, resulting in** BattleInevitable. Why is it there?ChipsIn the case of an increase in industrial demand, it is necessary to fight** Battle？The reason isOvercapacity。GlobalChipsEnterprises expand production capacity, which maturesChipshas increased by about 20%, but demand has not yet recovered to 2021 levels. For nowWafersThe plant is still expanding and is expected to be global in 2024 and 2025WafersProduction capacity will increase by more than 10% per year, mainly for maturityChipsCapacity. If demand cannot continue to grow effectively, the future is ripeChipsThe production capacity may exceed 40%-50%.WafersThe factory will face the dilemma of reducing production or going out of business.
Global 2023WafersOEMFactoryCapacity utilizationAccording to the data, it is about 70%, leaving about 30% of the vacant capacity. WafersSince the plant usually does not shut down, this also means that 30% of the machines are running but not output, resulting in a waste of resources. The main reason for this situation is the decrease in orders due to sluggish demand. 2023 entirelyWafersThe industry has suffered a downturn, and everyWafersFactories are facing a decline andCapacity utilizationFalling dilemma.
However,WafersIn 2024, the factory ushered in the upward trend of the industry, the market demand gradually recovered, and orders began to increase, bringing good hope to people. However, at this moment when the industry is turning around,** BattleErupt again.
In order to ensureWafersFactoryCapacity utilizationMaximized, many mainstreamWafersFactories have lowered orders in order to grab them. involvedWafersThe plant includes:TSMCSamsung, UMC,SMIC, GF,HuahongCrystalline integrationAnd so on, basicallyWafersOEMA leader in the industry. Many manufacturers have had to lower their ** to attract more orders to keep their equipment runningProfitMaximization.
Despite the advanced technologyWafersManufacturers such asSamsungwithTSMCNo participation is required** BattleBecause they have the unique advantage of advanced technology, the competition is not fierce, but mostWafersFactories have lowered ** to compete for mature process orders. The competitive pressure of mature processes is enormous, involving almost everythingWafersThe plant includes:TSMCwithSamsungincluding large-scaleWafersThe plant has also been downgraded to maturityWafersTarget**.
WafersThe reason why the factory is playing in the case of increased demand** Battle, mainly becauseOvercapacity。In recent years, on a global scaleChipsEnterprises have expanded production, including:TSMCSamsungwithIntelThe development of advanced technology is being promoted, and othersWafersThe factory is also expanding and maturingChipscapacity. According to the data, the end of 2021 is mature compared to the end of 2023ChipsThe company's production capacity is expected to increase by about 20%. However, current demand has not yet reached 2021 levels, which means that the additional capacity is largely redundant.
With the globeWafersPlans for the expansion of the plant are still ongoing, according toSemiconductorsEquipment & Material ManufacturingAssociations(SEMI) statistics are expected to be global in 2024 and 2025WafersProduction capacity will increase by more than 10% per year, with the main growth being maturityChipsCapacity. According to this trend, if demand cannot continue to grow effectively, the future will matureChipsmay be 40%-50% more capacity. This will giveWafersThe factory brought huge trouble, and they had to face the choice of reducing production or going out of business.
** BattleRightWafersThe factory has brought great impact and challenges. By lowering ** competing for orders, although it can be increasedCapacity utilization, but also seriously damagedWafersFactoryProfitRate. Manufacturers have to be inProfitTough choices against market share.
In addition,** BattleIt has also led to a decline in the industry's leading positioning, which has had an irreversible impact on the entire industrial chain. Low ** competition makesProfitThe space is getting smaller and smaller, for some of the smaller scales and relatively limited resourcesWafersFactories, the pressure to survive is increasing.
Face** BattlewithOvercapacitypressure,WafersFactories need to adopt a proactive response strategy. First of all,WafersFactories can seek innovation, by strengthening R&D and technology upgrading, to provide more competitive products and services, in order to enhance their core competitiveness, so as to reduce the pair** Battledependence.
Secondly,WafersFactories can work together through industry alliances and collaborations** Battlechallenges. WafersAlthough the competition between factories is fierce, they also have common interests and problems. By joining forces and sharing resources and market information, mutual benefits can be achieved and the competitiveness of the entire industry can be improved.
Finally, it is also necessary to strengthen supervision and policy support and guidanceWafersRational development of the plant. ** Relevant policies can be developed to encourageWafersThe factory increases investment in scientific research and technology upgrading, and provides financial support and tax incentives and other measures to promoteWafersFactory directionHigh added valueand innovative direction transformation and development.
In summary,ChipsOEM** Battleof upgrade pairsWafersThe plant poses a huge challenge. WafersThe plant is facingOvercapacity, insufficient demand andProfitslippage and other issues. However, through measures such as innovation, collaboration, and support,WafersThe plant is able to respond positively** Battleto achieve sustainable development and growth.
(The above is a personal opinion only).