With the gradual recovery of the global memory market, the semiconductor industry is ushering in new growth drivers. Enterprises are actively preparing for the upcoming peak sales season, which significantly improves the capacity utilization of semiconductor manufacturing plants. According to the latest report from TechInsights, semiconductor manufacturing plants have emerged from last year's low point, and it is expected that the utilization rate of wafer fabs will break through the 80% mark in the second half of 2024, demonstrating strong market resilience.

The report points out that TSMC, as an industry leader, has approached saturation in its capacity utilization rate for advanced processes of 5 nanometers and below, further demonstrating the strong position of high-end processes in market demand. At the same time, NAND flash memory manufacturers have also reported the imminent end of production cuts, indicating that the storage market is gradually emerging from a downturn and entering a recovery track.

However, not all segmented markets present the same optimistic outlook. The situation in the industrial and automotive markets remains unclear. Due to stagnant market demand for a period of time, manufacturers in the fields of analog chips, discrete devices, etc. have to take measures to reduce production in the first half of 2024 to cope with market pressure. This results in less than ideal utilization rates of mature technology nodes compared to cutting-edge technology nodes, reflecting structural differences in market demand.

However, industry experts generally believe that this situation is only temporary. With the gradual digestion of inventory and the recovery of market demand, the demand for analog chips, discrete devices and other fields is expected to rebound in the second half of 2024. Looking ahead, with the comprehensive recovery of terminal demand, the utilization rate of global wafer fabs is expected to significantly increase to around 80% in the second half of 2024, and further climb to an average utilization rate of 90% by 2025, bringing new development opportunities to the semiconductor industry.

It is worth mentioning that the recovery of the semiconductor market is not only reflected in the improvement of capacity utilization, but also in the optimization of market demand structure and the expansion of emerging application fields. With the stabilization and growth of demand in markets such as artificial intelligence, high-performance computing, smartphones, personal computers, servers, and automobiles, the semiconductor industry will usher in a new wave of growth. According to IDC's forecast, the annual growth rate of the semiconductor sales market will reach 20% in 2024, indicating strong demand for semiconductor products in the market.

In addition, with the acceleration of the trend towards automotive intelligence and electrification, the demand for automotive electronic systems such as ADAS (Advanced Driver Assistance Systems) and Infotainment (In Vehicle Information Entertainment Systems) will continue to grow, becoming an important driving force in the semiconductor market. The rise of these emerging application fields not only brings new growth points to the semiconductor industry, but also provides broader development space for upstream and downstream enterprises in the industry chain.

Fushite Technology focuses on the field of power devices, providing customers with power devices such as IGBT and IPM modules, as well as MCU and touch chips. It is an electronic component supplier and solution provider with core technology.