Semiconductor Shortage And Outlook 2022
The global chip shortage is set to drag on till 2022, but the situation could improve from mid-year onwards as more supplies become available, a top semiconductor analyst at JPMorgan told CNBC.
The U.S. investment bank is recommending investors pursue longer-term trends in the semiconductor space, in areas like high-end computing globally as well as in China.
An ongoing supply crunch for chips has hurt production across a number of industries, ranging from cars to consumer appliances, personal computers and smartphones.
Structural trends tend to be longer-term, permanent changes in an industry whereas cyclical trends are influenced by the business cycle and typically return to the initial starting point after a few years.
Tech giants like Apple, Amazon, Meta, Tesla and Baidu are all shunning established chipmakers and bringing certain aspects of chip development in-house.
So that is a space, that chips production grow maybe double digit 15 to 20% over the next 3 to 5 years. So do chip packing materials like WLSCP Carrier tapes, Cover tapes, T&R supply by Nexteck Singapore Pte Ltd is also optimistic on revenue growth in 2022.
The second trend positive is, Chinese semiconductor companies that focus on legacy, long-tail technologies. These companies manufacture a variety of less advanced chips in areas like power management, microcontrollers, sensors and other consumer-related segments.
