US-based IC backend house Amkor Technology is advancing its US$1.6 billion factory in Bac Ninh, Vietnam. However, it expects much fewer employees to be required for the facility inaugurated in October 2023.
On December 17, 2024, the US Department of Defense (DoD) confirmed the removal of Advanced Micro-Fabrication Equipment Inc. (AMEC) and IDG Capital from its Chinese Military Companies (CMC) list, effective December 13.
The US reportedly plans to invoke Section 301 of the Trade Act to investigate Chinese semiconductors, focusing on mature process chips in medical devices, cars, and smartphones. The probe, driven by concerns over China's dominance and low chip prices, may lead to tariffs. Findings are expected in six months.
GlobalWafers has disclosed that its two US subsidiaries will receive up to US$406 million in direct funding from the US Department of Commerce under the Chips Act.
Industry sources indicate that prices for mature semiconductor manufacturing process tape-outs will likely decrease in 2025, primarily driven by higher tape-out demand from integrated circuit (IC) design customers.
In a press release dated December 10, Toppan, a subsidiary of Toppan Holdings, announced its participation in the US-JOINT initiative. This initiative is a consortium between the US and Japan, which was established in July with the goal of advancing AI and autonomous technology in next-generation semiconductor packaging.
Samsung Electronics is doubling down on mature process foundry services while strengthening partnerships with IC design firms to expand its footprint in China, carefully navigating US export controls.
TSMC and Samsung Electronics (Samsung) are set to begin mass production of 2nm technology starting in 2025. Both industry giants are actively vying for customer orders. The South Korean industry believes that while TSMC has a slight edge in development progress and securing clients, Samsung is determined not to back down and is accelerating its efforts to compete.
The Federal Ministry for Economic Affairs and Climate Action of Germany (BMWK) has officially approved financing for TSMC's wafer fab project in Dresden. The German government has signed an agreement with the four companies co-investing in European Semiconductor Manufacturing Company (ESMC) - TSMC, Bosch, Infineon, and NXP. On December 13, Germany's Federal Minister for Economic Affairs Robert Habeck formally announced the launch of this joint investment project.
India's Kaynes Semiconductor has aligned with a major anchor customer in the power domain, focusing on IGBT (Insulated-Gate Bipolar Transistor) and IPM (Intelligent Power Module) products for the industrial and automotive markets, the company said.
Taiwan's LCD panel industry, despite making significant technological advances amid intense Chinese competition, continues to face financial challenges. Innolux president James Yang, speaking at the 12th National Science and Technology Conference on December 16, 2024, called for the government to extend industry subsidy programs beyond 2025.
Taiwanese panel maker Innolux has established its Intelligent Automation Solutions (IAS) Business Center, which focuses on three major product lines targeting smart manufacturing and medical care applications. The company expects the unit's revenue to grow by five to tenfold in 2025.
Japanese semiconductor testing equipment firm Advantest has announced its latest testing solutions for advanced applications such as high-end memory, 5G, AI, and high-performance computing (HPC). The company is also closely monitoring Rapidus's progress in mass-producing 2nm chips.
TSMC's revenue in US$ terms is expected to grow by at least 20% in 2025, with almost all major chip vendors seeking its support for advanced manufacturing processes where the world's number one pure-play foundry sees little challenge from competitors, according to industry sources.
As global demand for semiconductors continues to rise, Indian companies are progressively stepping up to fill the gap traditionally addressed through imports. Suchi Semicon is leading this transformation by establishing Gujarat's first Outsourced Semiconductor Assembly and Test (OSAT) facility, aiming to reduce India's dependence on foreign semiconductors.
TSMC chairman C.C. Wei revealed that the "richest guy in the world"—widely believed to be Tesla CEO Elon Musk—shared his focus on developing multifunctional robots over automobiles. Musk raised concerns about chip shortages, but Wei assured him that with sufficient funding, chips would be readily available.
Intel CEO Pat Gelsinger retired on December 1, 2024, leaving CFO David Zinsner and senior executive Michelle Johnston Holthaus to serve as interim co-CEOs. While the board works to identify a permanent successor, Intel faces one of the most significant crises in its history, searching for a qualified leader to navigate both internal instability and mounting external pressures increasingly challenging.
The surging AI market has driven unprecedented demand for high-bandwidth memory (HBM), placing significant strain on supply chains. In early August, reports surfaced that the Biden administration was planning stricter semiconductor export controls, targeting China's access to HBM—a key component for AI chips—and the equipment needed for its manufacturing.
According to ET News, SK Hynix is setting its sights on the semiconductor packaging market by offering packaging foundry services, a move that analysts say capitalizes on its expertise in high bandwidth memory (HBM).
In response to the US export control regulations introduced on December 2, China's Ministry of Finance issued a notice on December 5 regarding government procurement standards and implementation policies for domestic products, proposing to give local products a 20% advantage in bid evaluations.
According to Nikkei, Rapidus chairman Tetsuro Higashi stressed in an interview that achieving the goal of producing 2nm chips involves overcoming three significant challenges- the technical feasibility of mass production, market and customer positioning, and funding issues, particularly regarding its heavy reliance on resources from the Japanese government.
At SEMICON Japan 2024, JASM president Yuichi Horita announced that TSMC's first wafer fab in Kumamoto, Japan, is on track to begin mass production within 2024, reports Nikkei. The facility, advancing as scheduled, will initially supply logic ICs to Sony and Denso. Horita highlighted that production lines at Kumamoto have been configured to meet TSMC's high-quality standards established in Taiwan.
ET News highlighted challenges in South Korea's semiconductor materials industry, as sluggish markets and declining demand hit companies like LPN, Technium, and SK Enpulse. These issues have resulted in operational struggles, foreign takeovers, and market exits, endangering the semiconductor supply chain and calling for government support in research, development, and industry policies.
