TapTechNews June 21st news, market analysis agency Omdia recently stated that the global semiconductor market, after consecutive three quarters of growth, shrank by 2% in the first quarter of 2024 to $151.5 billion (about 1.1 trillion Chinese yuan at present).
TapTechNews queried Omdia's previous reports, and its statistical result for the semiconductor market size in the first quarter of 2023 was $120.5 billion, that is to say, the semiconductor market in the first quarter of 2024 still increased by 25.7% year-on-year.
Due to overall weak demand, most of the subcategories of the semiconductor market last quarter showed a decline.
Among them, the consumer business was the most severely impacted, with a 10.4% quarter-on-quarter decrease; the industrial business also decreased by 8.5% quarter-on-quarter; even the automotive business that had maintained steady growth for many years also showed a 5.1% quarter-on-quarter negative growth.
However, thanks to the continued high demand for Nvidia's AI GPUs and other AI products, the data processing business showed a 3.7% performance increase, which to some extent offset the impact of the decline of some of the above-mentioned businesses.
From the enterprise perspective, Nvidia's performance growth momentum is still positive, and its market share in the overall semiconductor market last quarter reached 14.5%, not only increasing by more than 2% compared to the fourth quarter of 2023, but also surpassing the two traditional leaders Samsung and Intel.
In addition, with the recovery in the storage field, the market share rankings of SK Hynix and Micron also showed an increase.
Omdia also mentioned in the report that the capacity utilization rate of semiconductor factories in 2023 is still hovering at a slightly more than 80% level.
Omdia's chief analyst Craig Stice said:
As the market begins to seek a balance, the utilization rate of semiconductor manufacturing plants began to slightly increase in the second half of 2023. However, since the traditional demand pattern has not yet fully formed, the real supply and demand situation has not been realized yet.
The semiconductor demand will continue to improve in the second half of 2024. This will lead to inventory correction, thus again promoting the increase of plant utilization.