Intel, Samsung 'smell blood in the water'
January 23, 2012 // Dylan McGrath
Aggressive 2012 capital spending plans revealed this week by Intel Corp., and Samsung Electronics Co. Ltd., signal that the two largest chip firms see an opportunity to distance themselves from competitors and are ready to spend heavily to do it, according to a report by market research firm IC Insights Inc.
Intel, which said Thursday (January 19) it plans to spend roughly $12.5 billion on capex, and Samsung, which revealed earlier this week it plans to spend about $12.2 billion on semiconductor capex, are each expected to more than double the 2012 capital expenditures of Taiwan Semiconductor Manufacturing Co. Ltd. (TSMC), the third biggest spender, IC Insights said. TSMC said earlier this week it plans to spend about $6 billion on capex this year.
"It is apparent that for Samsung, Intel, and TSMC, the time has come to put the hammer down and position themselves as the strongest and most dominant IC suppliers in the industry," IC Insights said in an excerpt from the 2012 edition of the firm's McClean report. IC Insights said the three firms are becoming more dominant in their areas of specialization and that smaller competitors may soon find it extremely challenging to remain competitive in developing new products or competing on a cost basis.
"Weaker suppliers will be forced out of the business and a higher percentage of capex spending will be in the hands of the fewer remaining players," IC Insights said.
Since 2009, Intel, Samsung and TSMC have boosted capital spending significantly, IC Insights noted. In 2010, TSMC doubled its capital spending compared to 2009, while Samsung tripled its semiconductor capex spending, IC Insights said. In 2011, Intel doubled its capex compared to 2010, IC Insights said.
Collectively, the planned capex spending of Intel, Samsung and TSMC is forecast to be $30.7 billion in 2012, nearly 3 times as much as the group spent in downturn-plagued year of 2009, IC Insights said.All news
Trinamic's stepper motor package gets you started
August 29, 2014
This month, Trinamic Motion Control is offering you to win one of four TMCM-1043 development kits for its highly integrated, ...
Winged parcel delivery: Google's way
Two-inch Super AMOLED display fits Samsung smartwatch plans
Dutch startup shrinks 60GHz radars, increases precision
Google glass: App measures facial expression
Forget iPhone: 4 megatrends in China’s smartphone market
August 28, 2014
Touch Taiwan, an international touch-panel and optical film exhibition that opened here Wednesday, is exposing some of Asia’s ...
Foldable AMOLED features interactive touch control
Lantronix to fill digital classrooms' printing gap with PAL programme
Circular P-OLED display gives wearable device classic style
- Using RF Recording Techniques to Resolve Interference Problems
- How to Protect & Monetize Android Apps
- Building Blocks for the Internet of Things
- New Linear Regulators Solve Old Problems
InterviewCEO interview: Tronics' Langlois makes moves in MEMS
Pascal Langlois has been CEO at Tronics for nine months. He discusses plans for the company and directions for the complex and diverse MEMS technology sector.
Filter WizardCheck out the Filter Wizard Series of articles by Filter Guru Kendall Castor-Perry which provide invaluable practical Analog Design guidelines.
Linear video channel
READER OFFERRead more
This month, Trinamic Motion Control is offering you to win one of four TMCM-1043 development kits for its highly integrated, NEMA 17-compatible TMCM-1043 stepDancer stepper motor module.
Offering designers an easy-to-use PC-based GUI that allows one-click modification of motor drive current, micro-stepping and other key parameters, the intuitive kits are custom designed and developed for...Read more
December 15, 2011 | Texas instruments | 222901974
Unique Ser/Des technology supports encrypted video and audio content with full duplex bi-directional control channel over a single wire interface.