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Top 20 semiconductor sales leaders ranked by revenue for the first half of 2013 in $M including foundries.
(Source: IC Insights)
Top 20 semiconductor sales leaders ranked by revenue for the first half of 2013 in $M including foundries.
(Source: IC Insights)

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Tom Murphy
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PC decline
Tom Murphy   8/6/2013 11:30:51 AM
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With mobile on the upswing, and PCs on decline, it seems like a fair bet that these trends will continue for the immediate future. It's also possible that some players will choose to leave the market to focus on other areas. 

DCH0
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double dipping?
DCH0   8/6/2013 1:03:42 PM
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"The list of top 20 worldwide semiconductor companies (including producers of ICs, discrete, optoelectronic, and sensor chips) for the first half of 2013 include three pure-play foundries (TSMC, GlobalFoundries, and UMC) and four fabless companies."

It looks like you are counting twice.  The foundries are producing the chips the fabless companies are selling.

bmccleanicinsights
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Re: double dipping?
bmccleanicinsights   8/6/2013 2:25:38 PM
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The following paragraph was included in the full research bulletin on our web site www.icinsights.com and explains why we include the foundries in the ranking.  It was not included in this eetimes excerpt.

"The top-20 ranking includes three pure-play foundries (TSMC, GlobalFoundries, and UMC) and four fabless companies.  IC foundries are included in the top-20 semiconductor supplier ranking because IC Insights has always viewed the ranking as a top supplier list, not as a marketshare ranking, and realizes that in some cases semiconductor sales are double counted.  With many of our clients being vendors to the semiconductor industry (supplying equipment, chemicals, gases, etc.), excluding large IC manufacturers like the foundries would leave significant "holes" in the list of top semiconductor suppliers.  Overall, the ranking provides a guideline to identify which companies are the leading semiconductor suppliers, whether they are IDMs, fabless companies, or foundries."

daleste
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Re: PC decline
daleste   8/6/2013 9:01:22 PM
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Yes, the mix is changing with the move from desktop to laptop to tablet and smartphone.  I am surprised that TI's sales decreased.  I guess the addition of National did not increase their sales.

Tom Murphy
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Re: double dipping?
Tom Murphy   8/6/2013 10:24:39 PM
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Thanks B McClean. I think that part was clear in the story, but it would be nice to exclude the double-counting, though we recognize it would require more research.

Peter Clarke
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Re: double dipping?
Peter Clarke   8/7/2013 5:59:24 AM
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As I said in copy

 

"IC Insights defends the inclusion of fabbed, fabless, and foundry companies in its ranking -- which might invoke double-counting of some sales -- by saying the list is not a market-share ranking."

Peter Clarke
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Re: double dipping?
Peter Clarke   8/7/2013 6:00:25 AM
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Other market researchers, such as Gartner, produce rankings that exclude the foundries.

bmccleanicinsights
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Re: double dipping?
bmccleanicinsights   8/7/2013 12:36:17 PM
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Hi Tom,

I wanted to respond to you and Peter regarding the thread we have going about including the foundries in the top 20 ranking.

Because IC Insights is in the business of selling market research, I believe we have a more "practical" viewpoint regarding the ranking.  If we take out the foundries we essentially have a marketshare ranking.  It may be interesting but is it really useful?  In our opinion it is not useful.  The semiconductor suppliers on the list supply everything from power discretes, sensors, flash memory, MCUs, MPUs, analog, etc.  Comparing the total semi marektshare of Intel versus Samsung versus TI really isn't useful.  

In our McClean Report we list the marketshares of the top analog, MCU, DRAM, MEMS, etc. suppliers and don't include the foundries.  This information can be very useful if you are an analog supplier measuring yourself against your competition.  I really don't think TI cares that it has less marketshare than Intel in the total semiconductor market but it does care where ST, its long time competitor, ranks in the list of top analog suppliers.

Let's take two very different products, silicon wafers and CAD equipment.  If you are a supplier of these products and trying to determine which companies are potential customers, the "marketshare" list is not very helpful.  Missing TSMC, GlobalFoundries, UMC, SMIC, etc., exludes huge potential customers for your products.  Our supplier list, including foundries, fabless, and IDMs, provides a more useful list to these companies.

The bottom line is, if you are interested, for some reason, what a company's total semiconductor marketshare is, then the foundries can be exluded.  If you want to know which companies are the largest suppliers of semiconductors, then the foundries should be included.

For us, it does not require any additional research to put together a ranking excluding the foundries.  IC Insights maintains a complete worldwide company profile database of over 200 semiconductor suppliers (Strategic Reviews Database) and we routinely list the top 50 semiconductor suppliers in our McClean Report.  So, as part of this discussion, I sent Peter Clarke a list of the top 20 semiconductor suppliers without the foundries that he can attach at the end of the original article (Nvidia, Fujitsu, and Marvell move into the ranking as a result) if he wants to.  In this way, your readers can see the ranking with and without the foundries, which should hopefully make everybody happy. :)  Sorry for such a long post!

Tom Murphy
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Re: double dipping?
Tom Murphy   8/7/2013 12:54:22 PM
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Thank BM Mc for your detailed reply.  There are certainly other sources (as Peter noted) for marketshare if folks need those.

krisi
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CEO
Samsung
krisi   8/7/2013 1:57:20 PM
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At which point Samsung is going to catch up to Intel?

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