The foundation of the contemporary economy is built upon the intricate workings of semiconductors. These minute electronic circuits, christened for their conductive attributes, function as the neural hubs for countless devices. Their influence spans a broad spectrum, encompassing spacefaring crafts, automotive computing systems, smartphones, medical instruments, household appliances, and an array of other innovations. As the reach of their applications expands, the manufacturers of these semiconductors find themselves in a state of ongoing growth and prosperity.
They are also a vital component of the global economy, generating hundreds of billions of dollars in revenue and supporting millions of jobs. In 2022, the global semiconductor industry grew by 4.4 percent compared to 2021, reaching about US$600 billion.
This expansive landscape houses a diverse array of chipmakers, encompassing both globally recognized titans and more specialized suppliers quietly operating within niche markets. The chips forged by these entities constitute indispensable components for the creators of technological hardware and industrial machinery, fueling progress across sectors. While the semiconductor industry and the stocks of these chip manufacturers exhibit a marked cyclical nature, discerning investors often perceive this sector’s enduring significance due to its enduring growth trajectory and pivotal role in the evolution of groundbreaking technologies.
However, the industry also faced unprecedented challenges, such as the COVID-19 pandemic, the chip shortage, trade tensions, and rising competition. In this blog post, we will take a look at the top 10 semiconductor companies in the world, based on their revenue, market share, innovation, and impact. These are:
1. Intel:
Founded in 1968 by Robert Noyce, Gordon Moore, and Andrew Grove3, Intel is the world’s largest semiconductor company by revenue, with US$69.54 billion in 2022. Headquartered in Silicon Valley, California3, Intel primarily develops processors for the personal computer (PC) and enterprise server markets, as well as memory and storage products, internet-of-things (IoT) solutions, autonomous driving technology, and programmable semiconductors4.
2. Samsung Electronics:
Founded in 1969 by Lee Byung-chul5, Samsung Electronics is the world’s second-largest semiconductor company by revenue, with US$241.60 billion in 20226. Headquartered in South Korea5, Samsung Electronics is the world’s largest chip manufacturer, producing memory chips, logic chips, image sensors, display drivers, and foundry services for various applications and customers6.
3. TSMC:
Founded in 1987 by Morris Chang7, TSMC is the world’s third-largest semiconductor company by revenue, with US$71.66 billion in 20228. Headquartered in Taiwan7, TSMC is the world’s largest semiconductor foundry, providing contract manufacturing of integrated circuits for various clients and applications8.
4. SK Hynix:
Founded in 1983 as Hyundai Electronics Industries Co., Ltd.9, SK Hynix is the world’s fourth-largest semiconductor company by revenue, with US$34.88 billion in 202210. Headquartered in South Korea9, SK Hynix mainly produces memory chips, such as DRAM and NAND flash, for various devices and markets10.
5. Micron Technology:
Founded in 1978 by Ward Parkinson, Joe Parkinson, Dennis Wilson, and Doug Pitman, Micron Technology is the world’s fifth-largest semiconductor company by revenue, with US$30.65 billion in 2022. Headquartered in Boise, Idaho, Micron Technology mainly produces memory and storage products, such as DRAM, NAND flash, SSDs, and 3D XPoint.
6. Qualcomm:
Founded in 1985 by Irwin Jacobs, Andrew Viterbi, Harvey White, Adelia Coffman, Andrew Cohen, Klein Gilhousen and Franklin Antonio, Qualcomm is the world’s sixth-largest semiconductor company by revenue, with US$26.97 billion in 2022. Headquartered in San Diego, California, Qualcomm mainly develops wireless communication technologies and products, such as modems, chipsets, platforms, and software for mobile devices and networks.
7. AMD:
Founded in 1969 by Jerry Sanders and seven co-founders, AMD is the world’s seventh-largest semiconductor company by revenue, with US$16.76 billion in 2022. Headquartered in Santa Clara, California, AMD mainly develops processors, graphics cards, and chipsets for PCs, servers, gaming consoles, and cloud computing markets.
8. Texas Instruments:
Founded in 1930 by Cecil H. Green, J. Erik Jonsson, Eugene McDermott, and Patrick E. Haggerty, Texas Instruments is the world’s eighth-largest semiconductor company by revenue, with US$16.32 billion in 2022. Headquartered in Dallas, Texas, Texas Instruments mainly produces analog and embedded chips for various applications and markets, such as industrial, automotive, personal electronics, and communications equipment.
9. Applied Materials:
Founded in 1967 by Michael A. McNeilly, Applied Materials is the world’s ninth-largest semiconductor company by revenue, with US$21.58 billion in 2022. Headquartered in Santa Clara, California, Applied Materials mainly provides equipment, services, and software for semiconductor manufacturing, as well as display and solar technologies.
10. Maxim Integrated:
Founded in 1983 by Jack Gifford, Maxim Integrated is the world’s tenth-largest semiconductor company by revenue, with US$2.67 billion in 2022. Headquartered in San Jose, California, Maxim Integrated mainly produces analog and mixed-signal chips for various applications and markets, such as automotive, industrial, healthcare, communications, and consumer electronics.
These are the top 10 semiconductor companies in the world, as of 2022. They are the leaders and innovators of the semiconductor industry, which is essential for the advancement of technology and the economy. In this blog post, we have briefly introduced their history, products, and achievements. In the following sections, we will dive deeper into each company and explore its strengths, challenges, opportunities, and strategies for the future. Stay tuned for more!
