China's IC design forced Taiwan to pursue the United States

Date: 2018-03-30

The latest report from IC Insights, a research organization, pointed out that in terms of sales figures, the fabless IC (integrated circuit) design industry in 2017 will still maintain its leading position in the U.S. industry, including more than half of the global market share; The industry ranks sixth and the market accounts for 16%. It is worth noting that the IC design industry in mainland China has grown rapidly and its market share has reached 11%. Compared with 2010, only 5% of the market accounted for more than a one-fold increase. Force Taiwan to follow the trend of the United States.

IC Insights pointed out that last year fabless IC design industry accounted for 27% of world IC sales, which was a lot more than 18% a decade ago. According to statistical analysis of corporate headquarters locations, the US maintained the largest market share in the last year. Three percent, compared with nearly 70 percent in 2010, was partly due to the fact that Broadcom, a California-based wafer maker, was acquired by Singapore's Avago Technologies in the previous year. Once Broadcom has completed the relocation to the United States, The US IC design market will return approximately 69%.

The report pointed out that the market share of IC designers in Taiwan has changed little. Last year, about 16% was equal to 2010 (seventeen%). Media sales of Mediatek, Lianhua and Ruiqi in 2017 were all More than one billion US dollars, and ranks among the world's largest IC design industry.

The report pointed out that mainland China has played a more important role in the IC design market, from five percent in 2010 to doubling to eleven percent last year, and ten Chinese companies have squeezed into the world’s top 50 fabless ICs. Design leaderboard, in 2009 there was only one Hess semiconductor.

According to statistics, last year, Ziguang Group was China's largest and ninth-largest IC designer in the world, with sales of US$100 million. In addition to Ziguang, it also includes Hass, ZTE Microelectronics, Huada IC, and Nanrui Zhixin. Yucheng ISSI (formerly DRAM makers in California, USA, was acquired by Chinese capital in 2015), Datang, Zhaoyi Innovation, Qiqi Technology, and Rockchip Microelectronics all pushed into the top 50.

However, the report specifically points out that if Hashi (excluding more than 90% of its sales are sold to the parent company Huawei), ZTE, and Datang's internal transfer supply are excluded, the market share of the Chinese IC design industry will drop to 6%.

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