For the first time since 2018, the world's best-selling semiconductor vendor was not Intel, which lost the top spot to Samsung in 2021, according to a report released today by Gartner Research.

Global semiconductor revenue rose 26,3% over the year to $595.000 billion, according to the report. Meanwhile, Samsung's market share rose to 12,3%, fueled by 28% year-on-year growth. The South Korean electronics giant made nearly €73,2 billion in total revenue in 2021, down from just over €57,1 billion the year before. Intel, on the other hand, saw its revenue decline ever so slightly, from €72,7bn in 2020 to €72,5bn last year, which was still good for a 12,2% global market share.

SK Hynix ranked third on the list last year, with revenue increasing 40,6% year-on-year to a total of $36.300 billion. Rounding out the rest of the top 10, in descending order: Micron, Qualcomm, Broadcom, MediaTek, Texas Instruments, Nvidia, and AMD, all of which saw revenue growth between 19% and 68%.

Other factors, including US government sanctions, have severely affected the market shares of China-based companies, Huawei-backed HiSilicon saw an 81% drop in revenue year-on-year between 2020 and 2021, and China's semiconductor industry in general is in decline. . from 6,7% of total market share to 6,5%.

According to Andrew Norwood, research vice president at Gartner, this fast-growing revenue is primarily due to continued chip shortages, coupled with an increase in demand from global 5G launches.

“A combination of strong demand and logistics/commodity price increases pushed up semiconductor average selling prices… contributing to significant revenue growth in 2021,” it said in a press release.

While the strongest growth in 2021 was seen in the automotive market, where demand grew by almost 35%, wireless communications also grew by 24,6%, driven by an increase of more than the number of 5G-enabled phones produced to world level. last year. Companies upgrading their Wi-Fi infrastructure to accommodate employees returning to the office in 2021 have also helped drive demand, according to Gartner.

However, the continued prominence of home and hybrid work has also boosted demand for semiconductors in its own way, the report notes. Memory chips, in particular, were in high demand, thanks to rising server deployments among cloud hyperscalers working to serve a growing pool of home-based workers. PCs and other terminals intended for use by these remote workers also helped solidify demand.

Copyright © 2022 IDG Communications, Inc.

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