In 2022, the global semiconductor chip industry is expected to reach about US$600 billion.
Over the long run, semiconductor revenues are likely to oscillate around a trend line. Still, that trend line looks steeper than ever before as we enter a period of robust secular growth.
We expect the global industry to grow 10% in 2022 to over US$600 billion for the first time ever. Chips will be even more important across all industries, driven by increasing semiconductor content in everything from cars to appliances to factories, in addition to the usual suspects—computers, data centers, and phones.
We expect shortages and supply chain issues to remain front and center for the first half of the year, hopefully easing by the back half, but with longer lead times for some components stretching into 2023, possibly well into 2023.
The ongoing talent shortage will be made even more severe by the addition of increased semiconductor manufacturing facilities outside Taiwan, China, and South Korea. The higher demand for software skills required to program and integrate chips into fast-growing markets will further exacerbate the shortage.
Finally, we expect the digital transformation within the industry to continue and accelerate. Nearly three out of five chip companies have already begun their transformation journey. Still, over half of those are modifying their transformation process as they go, in response to various pressures.(https://www2.deloitte.com/)