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  • Writer's pictureOlivia

Is Semiconductor Single Handedly Driving Electronics Industry


Semiconductors have had a big impact on our society. Microprocessor chips contain both transistors and semiconductors. Everything that uses radio waves or computers needs semiconductors.

They are used in current electronics so extensively that they could possibly be called the brains of modern electronics.

The COVID-19 pandemic has sparked numerous technical advancements, and despite the current economic crisis, the semiconductor sector has been expanding rapidly. Semiconductors form the backbone of practically all electronic devices and are widely used in a wide range of sectors, including communications, aerospace, automotive, defense, and transportation. Integrated chips, solar plates, microcontrollers, and other technical equipment all contain semiconductors.

What are Semiconductors?

A semiconductor is a material that regulates and governs the electricity flow in electronic equipment and gadgets. Either fully repel or prevents an electric current from flowing freely. Most commonly, semiconductors are utilized to create computing components, electrical chips, and items that fall between a conductor and an insulator. However, in order to create it, silicon, germanium, or other pure elements are usually used. Impurities are added to these substances to produce semiconductors. An element's conductance or inductance will change depending on the kind and quantity of additional impurities.

Why use Semiconductors?

The foundation of modern electronics is semiconductor technology. Microcontrollers, integrated chips, diodes, transistors, photosensors, calculators, 3D printers, driverless vehicles, and solar panels are just a few of the modern products that utilize them. Semiconductors can also be used to make MOSFETs and transistors, which are switches used in electrical circuits. Due to their distinct physical and chemical properties, semiconductors are useful in the production of technological products.

In addition to assisting with the operation of electronics, they also support the operation of ATMs, trains, the Internet, and many other forms of communication. Even in the medical system, they are employed to complete tasks like concluding test work and filling out prescriptions. These tiny technological marvels improve our daily comfort.

Trends in the Semiconductor Industry

Given their significance, it wouldn't be unfair to assert that semiconductors' basic operation has the potential to enhance a wide range of high-tech instruments across all industries. Many applications, including artificial intelligence (AI), augmented reality (AR), virtual reality (VR), etc., depend on advancements in semiconductor technology. In order to support their inventions, we predict the following semiconductor trends that will have an effect on the industry's growth in 2023 and beyond:

The 5G Benefit

In comparison to 4G, 5G networks' chipsets process and send data more quickly. These integrated chipsets will increase demand for a wide range of semiconductors. The new wireless technology, which has a substantial amount of investment in cell installations, is extremely beneficial to the 5G infrastructure chip manufacturers. Several evaluations forecast that over the next 10 years, the 5G chipset market would grow by a robust 44.95%.

Automotive Chips Supporting Semiconductor Growth

The automobile chip is one of the newest and most well-liked innovations in the semiconductor sector for 2023. Automotive chips have played a significant role in the growth of the semiconductor sector.

Due to elements including power management, centralized management, environmental awareness, the Internet of Vehicles, audio and video, AI capabilities, and many others, the semiconductor industry is expanding quickly. Additionally, since more advanced features like self-driving, ADAS, and real-time road monitoring require substantial computational capability, the demand for automotive chips with sophisticated processes will increase over the next ten years.

Future automobile OEMs and foundries may work together directly. As a result, it became common practice to skip Tiers 1 and 2 and instead join the supply chain. For instance, VW has already begun corresponding with foundries like TSMC and Global Foundries as well as chip designer Qualcomm. In order to have better control over semiconductor devices, automakers are currently investing money on chips that they have built themselves.

The Rise of IoT Semiconductors

Why has the IoT semiconductor trend developed as the industry's primary growth engine? IoT semiconductors have some advantages over traditional semiconductors. Both the consumer and business sectors now favor IoT devices over other traditional alternatives. The rising need for IoT-specific components will be very advantageous for the semiconductor industry. The market for IoT semiconductors is expected to grow by $110.6 billion.

Release of New Product to Boost Demand

The release of new products is the newest trend in the semiconductor sector for 2023 and is being embraced by numerous significant businesses. It is anticipated that AMD, Intel, and Nvidia will release new CPU and GPU products this year. In 2023, Apple will also introduce a brand-new laptop with 3nm processors from TSMC. According to rumors, Apple's AR/VR device will also appear in 2023. Chip demand will increase as a result of the sales of innovative and creative products.

The Impact of AI

The usage and application of AI are rapidly expanding globally. Companies currently have a great opportunity to make semiconductor chips that include AI. By integrating AI into semiconductor chips, manufacturing efficiencies, and operational costs are further increased. This rise in demand for AI-based applications and devices has a direct impact on the growth potential of semiconductor manufacturers.

Automotive Vehicles Will Drive the Future

The automotive industry, which depends entirely on semiconductors, is moving toward autonomous vehicles. Integrated semiconductors in autonomous vehicles can cooperate on a range of activities. Automotive semiconductors will improve the connection, sensors, and battery performance of electronic vehicles. The market for automotive artificial intelligence software is expected to grow by 44.8% during the next ten years.


Now that the microprocessor is a part of your smartphone, TV, tablet, or other electronic devices, it is prepared to integrate into these gadgets utilizing semiconductors. Despite being barely larger than your thumb, a chip can have billions of transistors. The A15 Bionic system-on-a-chip from Apple, for instance, has 15 billion transistors and can do 15.8 trillion operations per second. Of course, there are a lot more procedures involved in both the production and use of semiconductors than simply these. Other processes include testing, electroplating, measuring, and inspection. Before being used in a device, a microchip goes through this process hundreds of times.

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