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The semiconductor market declined sequentially in 1Q22 but not by as much as normal seasonality would have dictated, according to market analysis firm Omdia.

The market declined sequentially by 0.03 percent to a value of $159.30B in 1Q22 although over the last 20 years the average Q4-to-Q1 decline has been 4.4 percent. Q1 typically is a down quarter as demand wanes after the holiday season.

However, there is a sign that the period of exceptional growth could come to an end in 2Q22. The market has experienced five consecutive quarters of growth up until 1Q22.

“Total semiconductor revenue has been growing each quarter since 2Q20, and the market set new total revenue records each quarter beginning with 4Q20. But the market broke both those streaks in 1Q22, declining for the first time since 1Q20,” said Cliff Leimbach, research analyst at Omdia.

One of the down markets in 1Q22 was CMOS image sensors which declined 16 percent sequentially. This was due to a combination of factors including: increases in raw material prices; inflation dampening consumer spending, particularly for smartphones. 

Samsung remained the top semiconductor vendor and increased its lead over Intel. AMD rose from eighth-ranked to sixth on its acquisition of Xilinx.

www.omdia.com

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