12 Mar 2021 -

IC Insights: Revenue per wafer climbs as demand surges for 5nm/7nm IC processes

Fabless IC companies are banging on foundry doors to have their leading-edge devices, including high-performance microprocessors, low-power application processors, and other advanced logic devices, fabricated using 7nm and 5nm process nodes, reports IC Insights.

Some of the current iterations from logic and foundry suppliers are shown in the figure below. 

In the foundry world, particularly, manufacturing with leading-edge processes carries a distinct advantage. In 2020, TSMC was the only pure-play foundry manufacturing ICs using both 7nm and 5nm process nodes. Not coincidentally, its overall revenue per wafer increased significantly in 2020 as many of the top fabless IC suppliers—16 fabless IC companies with more than $1.0 billion in 2020 revenue—lined up to have their newest designs manufactured using these most advanced processes.

Three of the four pure-play foundries enjoyed higher revenue-per-wafer in 2020 (GlobalFoundries’ revenue per wafer slipped 1% last year). TSMC’s figure of $1,634 exceeded GlobalFoundries by 66% and was more than double the revenue per wafer value at UMC and SMIC. With estimated capital expenditures of $27.5 billion in 2021, TSMC will expand its available capacity at these nodes and also begin risk production of 3nm ICs this year with 3nm volume production slated to start in 2022.

To avoid electronics supply-chain disruptions, you may also wish to consult an expert in electronics component supply. With more than three decades of supply-chain expertise, Astute Electronics is ideally placed to work with you on your daily component requirements.

Either through the hundreds of manufacturers we purchase directly from, or the international network of component supply-partners offering full product traceability, Astute Safe-Supply, run by sourcing experts and offers a deeper insight into the global components markets.

With real-time access to the latest listings and prices cultivated through several decades of close supplier partnerships, we are able to spot price disparities and leverage product price variances to deliver cost-effective solutions to customers, whilst ensuring a quality, risk-free supply.

For more help with looking at supply chain options, contact Astute Electronics here

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