The semiconductor devices manufacturing industry was formed in 1960 when the production of semiconductors became a viable option. Ever since this industry has proliferated, mainly due to the advances and innovations in technology. The application of semiconductors has quickly expanded from its use in radio in the 1960s to almost every electronic gadget that is used today.
Based on the end-use application semiconductor devices are classified into the following broad categories:
- Communications: This segment includes the chips that are used in wireless and wired communication equipment. Data Processing: This application segment is the most significant end-user of semiconductors devices, it includes the chips used in servers, printers, and computers.
- Consumer Electronics: This segment uses semiconductor devices in the manufacture of household appliances, LCD TVs, and gaming consoles.
- Automotive: In the automotive sector, semiconductor devices are used in automotive electronic components including lighting and power steering.
- Industrial: The industrial sector makes use of semiconductor devices in scanning devices and medical devices such as patient monitors and ultrasound imaging systems.
- Military and Aerospace: Integrated circuits comprising of semiconductor devices are built based on the requirement of specific military applications.
Let’s look at some major developments that could positively impact the growth of the semiconductor devices manufacturing industry:
- Artificial intelligence: The adoption of AI technology across various verticals is proven to be a major development in the semiconductor devices sector. Several leading smartphone manufacturers have already implemented AI functionality in their smartphones. Organizations operating in other industries can also adopt AI technology to reduce costs and enhance process efficiency, this, in turn, helps in improving the ROI of semiconductor device manufacturers.
- The 10 nm node: Another significant development in the semiconductor devices manufacturing space is the shift to a 10-nanometer The shift to a smaller node, will improve the performance of the chip and also bring significant cost savings.
- Autonomous vehicles: The onset of level-three autonomous vehicles, is another major factor that is positively impacting the semiconductors devices manufacturing market. With several leading companies focusing on launching their autonomous ride-share services. The automotive sector may end up being the largest end-user of semiconductor devices.
Though these factors contribute significantly to the growth of the semiconductor devices market space, there are several challenges that organization in this sector have to encounter. As a player in the semiconductor devices market space, you may be familiar with the immediate need to confront each of the 
inevitable aspects that are impacting the growth of your business. Although you may yet not have a plan do so, it is best recommended to consider implementing solutions such as market intelligence as it will assist in defining your future growth opportunities.
The Business Challenge
The client– A semiconductor devices manufacturer
Objective– To analyze the marketing strategies and enhance the existing business models.
The client, a leading semiconductor devices manufacturer, wanted to analyze and improve their existing business model across their manufacturing units. The client wanted to leverage the use of Infiniti’s market intelligence solution to identify the specific customer segments, geographic and demographic information all of which play a significant role in the market intelligence study. The semiconductor devices manufacturer also wanted a detailed report on the entry barriers, market opportunities, risks, and competition in the semiconductor devices market space.
Results– Analyzed the market information to enhance the client’s existing business models and improved the overall business efficiency. Also, identified future growth opportunities for the manufacturer of semiconductor devices by drawing conclusions on the growth of end-user segments and market opportunities.
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The Journey
The market intelligence experts at Infiniti carried out extensive research comprising of interviews and discussions with leading stakeholders across the semiconductor devices market space to help the client improve business efficiency. The experts at Infiniti further compiled information from a wide array of secondary sources such as paid industry databases, company presentations, and industry forums to help the client understand the competitive scenario.
The Solution and the Business Impact
Infiniti’s market intelligence solution helped the semiconductor devices manufacturer identify the current trends in ICT. This engagement assisted the client in analyzing their business models to determine the process gaps and improve the overall business efficiency. It also helped them in identifying future growth opportunities and ways to improve retention strategies to ramp up sales. Moreover, the market intelligence solution offered by the experts at Infiniti also helped the client in gaining actionable insights from the extracted data.
The Future
Along with the rapid changes in lifestyle, there is a growing demand for electronic devices and gadgets. Consumers are ever more inclined towards the use of electronic gadgets and accessories in their day-to-day activities. This has resulted in a rise in the use of semiconductors devices for manufacturing such devices. Moreover, future opportunities in the semiconductor devices market space are set to outweigh their challenges, driving substantial changes in this sector. Therefore, those who carefully access and anticipate future opportunities and challenges to address them proactively, will be better positioned to succeed in this sophisticated market space.
A must-read case study for strategy specialists and decision makers looking to develop an understanding of the semiconductor devices market.
