Iranzu San Martin, Regional Sales Manager for Spain discusses her career development within the electronics industry and adapting to a different role at Rebound Electronics.
The Source – Top 5 News 29th September 2023
The Source is our latest offering to support our clients and visitors. You can read our Top 5 news for week commencing 25th of September 2023 below.
- Micron Breaks Ground on $2.75 Billion Semiconductor Plant in Gujarat, India
Micron Technology, a US-based chipmaker, initiated the groundbreaking ceremony for its $2.75 billion assembly, testing, and packaging plant (ATMP) in Sanand, Gujarat. The event marked a record-breaking construction start, occurring within three months of signing the Memorandum of Understanding. This project, the largest under the India Semiconductor Mission, is a result of Prime Minister Narendra Modi’s efforts to strengthen India’s presence in the global semiconductor ecosystem. Tata Projects will collaborate with Micron to construct the advanced semiconductor facility, with Phase 1 expected to be operational by late 2024. This venture is set to boost India’s technological prowess and employment opportunities, creating 5,000 direct and 15,000 indirect jobs. The facility will contribute to the global semiconductor supply chain, aligning with India’s ambition to become a major electronics manufacturing hub.
2. The U.S. Commerce Department Unveils Guidelines to Safeguard $52 Billion Chip Incentives from Benefiting China
The U.S. Commerce Department has introduced stringent “guardrails” to ensure that the $52 billion in federal incentives allocated to boost U.S. chip manufacturing do not inadvertently benefit China or rival nations. These rules, part of the 2022 CHIPS and Science Act, aim to bolster domestic semiconductor production, reduce reliance on Chinese technology, and enhance national security. The guidelines prevent funds from supporting advanced tech facilities in “foreign countries of concern” and restrict their use in expanding “legacy facilities.” Joint research and tech licensing with “entities of concern,” including those on the Treasury Department’s Chinese Military-Industrial Complex Companies list, also face restrictions. These measures will remain in place for a decade after funds are received, further safeguarding the nation’s critical semiconductor capabilities.
3. 3D Semiconductor Packaging Market Set to Reach USD 44.6 Billion by 2032 with a CAGR of 17.2%, Reports DataHorizzon Research
According to a recent report by DataHorizzon Research, the 3D semiconductor packaging market, valued at USD 9.2 billion in 2022, is projected to soar to USD 44.6 billion by 2032, with a robust compound annual growth rate (CAGR) of 17.2%. This substantial growth is driven by the increasing demand for smart devices and connected consumer goods, propelling the adoption of 3D semiconductor packaging technology. By vertically stacking silicon wafers through Silicon Vias, this cutting-edge approach enhances device performance while conserving power. As demand for advanced networking and storage solutions rises, 3D semiconductor packaging’s efficiency and cost-effectiveness make it a crucial player in the semiconductor industry. This technology is set to transform various applications, including supercomputing, NAND, DRAMS, and microelectronics, as it reduces device sizes and improves overall performance.
4. Nvidia and Other U.S. Chip Stocks Hit a Speed Bump Amid Valuation and Industry Concerns
The red-hot rally of Nvidia and other U.S. semiconductor companies in 2023 has hit a speed bump, with investors raising concerns about lofty valuations, rising Treasury yields, and industry challenges. While chip stocks surged earlier this year, led by Nvidia’s remarkable tripling in value, recent performance has stalled. The Philadelphia SE Semiconductor index has slipped over 7% this month, compared to a 2.3% drop in the broader S&P 500. With valuations well above historical averages and pressure from increasing Treasury yields, some investors are reevaluating their positions. Ongoing U.S.-China semiconductor tensions and shifting retail investor interest in the AI sector also contribute to the chip industry’s current challenges.
5. Semiconductor Foundry Market Set to Reach $161.90 Billion by 2031, Driven by Growing Demand and Automotive Integration
The Semiconductor Foundry Market is on track to achieve a CAGR of 7.10% from 2023 to 2031, propelled by the increasing demand for semiconductors across various sectors, including consumer electronics and automotive. Major industry players such as Globalfoundries Inc., DB HITEK, Intel Corporation, STMicroelectronics, Tower Semiconductor, X-FAB Silicon Foundries SE, and Samsung are contributing to this growth. According to Consegic Business Intelligence’s research report, the market, valued at $88.92 billion in 2022, is projected to reach $93.51 billion in 2023 and is anticipated to exceed $161.90 billion by 2031. The expansion of automotive manufacturing, the rise in electric vehicle initiatives, and the integration of semiconductors into advanced driver assistance and safety systems are key drivers of this market growth, despite regulatory challenges.