In 2023, semiconductor capacity utilization fell to its lowest level in nine years, and the outlook for 2024 is equally grim.
It is expected that the capacity utilization rate of wafers will remain below 80%throughout the year, and the capacity utilization rate of IDM will further decline compared to last year. Considering the current inventory level and the weak needs of consumers, automobiles, and industrial fields, this decline is not surprising.
Although the demand for semiconductor markets is sluggish, these companies are still increasing production capacity. It is expected to increase by 6%this year, and it will increase by 8%next year. This expansion reflects their promises to long -term growth and expectations for future demand, even if they are challenging the current market. It is not surprising that the capacity of a wafer factory to increase the production capacity of 2 nanometers and below is not strange, because the edge AI is expected to become an important driving force for these technologies. The production capacity of the node is expected to grow at a compound annual growth rate of 64%between 2024 to 2030.
The continuous expansion of semiconductor capacity reveals the strategic attention of the industry for future development. As enterprises invest in cutting -edge technology and aims to introduce the capacity of 2 nanometers and below, they are using the growing demand for applications such as edge AI. Edge integration advanced computing power is expected to bring significant growth because it directly enhances the processing capacity at the data source, thereby reducing delay and improving efficiency.