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Test Number : FN0-100
Test Name : Foundry Networks CNE
Vendor Name : Foundry
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TSMC set to outpace semiconductor industry due to Apple chip orders | FN0-100 examcollection and Free PDF

Apple chip associate TSMC will see growth in 2021 alongside the complete chip foundry trade, Counterpoint analysis claims, with TSMC expected to retain outperforming the trade normal with boom between 13% and 16%.

In its examination of the semiconductor trade sector, Counterpoint analysts reckon the total market delivered "above-expectation salary" in 2020, which it believes will proceed into 2021. In its predictions for the yr ahead, the company is chiefly high-quality on TSMC and Apple's chip strategy.

whereas the industry loved a 23% yr-on-12 months increase of salary in 2020 to $eighty two billion, Counterpoint believes it's going to grow to $ninety two billion for 2021, an annual enhance of 12%. For TSMC, its forecast 13% to sixteen% earnings increase in 2021 will outpace the business at tremendous if it is met.

this could partly be driven via TSMC's accelerating creation ramp-americaof EUV-enabled (severe ultraviolet lithography) nodes, generally overlaying 7-nanometer and 5-nanometer chips. EUV is notion to be a "critical element in extending Moore's legislations," increasing the transistor density of chips and doubtlessly improving efficiency.

On the 5-nanometer level, TSMC begun mass creation in Q1 2020, adopted by Samsung at the least 6 months later. it is estimated that 5-nanometer wafer shipments will account for five% of 12-inch wafers on earth for 2021, up from under 1% in 2020.

Apple is considered to be the precise consumer for five-nanometer chips in 2021, passing all orders through TSMC, and is anticipated to make up fifty three% of shipments. here is due to Apple's use of 5-nanometer tactics in A-series chips utilized in iPhones, as well as Apple Silicon.

Qualcomm can be the 2d-largest 5-nanometer wafer customer, in part because of Apple and the hypothesis Qualcomm's X60 modem can be adopted within the "iPhone 13."

within the 7-nanometer market, Apple is idea to best eat 6% of those wafers in 2021, in part because of the extraordinarily crowded industry dominated by using AMD, Nvidia, and Qualcomm.

because of routine similar to exchange wars and COVID-19, chip producers like TSMC are expected to prepare for "additional tiers of accessories" due to a lengthening of the element supply chain to 26 weeks from late 2020. "In other phrases, they may see an ascending wave of double-reserving trial in matured nodes not most effective on TSMC however also more significantly on the 2nd-tier foundry individuals," writes the company.

"so long as the challenge of deliver chain disruptions persists, chip companies would hold a high level of stock from this fall 2020," the analysts add, which might additionally permit "stronger-than-usual seasonality" in the first half of 2020 due to foundry shoppers placing wafer orders previous.

A market expectation of TSMC's listing-excessive of over $20 billion in salary for 2021 "looks cost-effective to us," says Counterpoint. "In their view, it can be a crossover year for TSMC's revenue between its two increase pillars - smartphone and HPC."

TSMC is anticipated to extend its 5nm and 3nm capacities throughout 2021, with the latter thought to already be consumed with the aid of Apple. The "capex-to-revenue ratio," used as a trademark of future increase, is anticipated to dwell at peak ranges for the yr, at 40% for TSMC.

The report's rosy photograph arrives forward of TSMC's profits call on January 14. It has said checklist salary for the December 2020 quarter, concept to be largely attributed to demand for the iPhone 12 range.

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