Narrowed Gap
Samsung Electronics is catching up with Intel in the global semiconductor market, thanks to a positive trend in the sales of memory semiconductors.
According to market research firm IHS Technology on Nov. 30, Samsung is expected to turn over US$38.273 billion in 2014 from semiconductor sales, a 15.6 percent year-on-year gain from US$33.116 billion last year. The Korean tech giant is projected to maintain the runner-up position with a 10.9 percent share, up 0.6 percent from last year.
The top-ranked Intel is expected to post US$49.964 billion in sales, up from US$46.981 billion from the previous year. However, its market share is likely to decrease from 14.6 percent in 2013 to 14.2 percent in 2014.
As a result, the gap between Intel and Samsung is expected to be 3.3 percent, which is the lowest ever. In fact, the gap between the two companies has continued to narrow from 6.9 percent in 2011 to 6.0 percent in 2012, and further to 4.3 percent in 2013.
The phenomenon is attributable to the fact that the Korean firm greatly increased sales of DRAM and NAND flash stemming from the increased distribution of mobile devices. In contrast, the world's largest semiconductor chipmaker is not distinguishing itself in mobile chips other than microprocessors for PCs.
Qualcomm is expected to nab the third spot with US$19.266 billion in sales and a 5.5 percent share, followed by Micron with US$16.389 billion in sales and a 4.6 percent share. SK Hynix is likely to maintain the fifth position with sales of US$15.737 billion and a 4.5 percent share.
The size of the global semiconductor market is estimated at US$352.558 billion this year, up 9.2 percent from the US$322.762 billion 0f 2013.