The chip caused the "world war" and the OEM market was reshuffled.

Recently, Counterpoint, a well-known research institution, released a data analysis report on the global foundry market in the fourth quarter of 2023, revealing the latest trends and key data in the field.

The report shows that TSMC still maintained its market dominance in the quarter, accounting for 61% of the global foundry market share, far ahead of other manufacturers.

It was followed by Samsung (14 per cent), UMC (6 per cent), GF (6 per cent) and SMIC (5 per cent).

These five companies together account for 92% of the global market share, making the market competition a highly concentrated situation, leaving little market share for other wafer foundries.

In terms of the process division of the wafer foundry market, the report shows a clear trend of big reshuffle.

According to 28 nanometers as the dividing line, 28 nanometers and above are considered mature processes, and below 28 nanometers are called advanced processes.

It is worth noting that the share of advanced processes has surpassed mature processes, reaching 57%.

Specifically, in the fourth quarter, 5/4 nanometer processes accounted for 26% of the share, 7/6 nanometer processes accounted for 13%, 3 nanometer processes accounted for 9%, and 16/14/12 nanometer processes accounted for 9%.

Together, these four advanced processes account for 57% of the market, more than half.

In contrast, the market share of mature processes is only 43%, much lower than that of advanced processes.

In the third quarter, the share of advanced processes was only 48%, while mature processes accounted for 52%.

By the fourth quarter, the share of advanced processes quickly surpassed half.

In the past, many people generally believe that the ratio of mature technology and advanced technology should be 7:3, that is, mature technology accounts for 70%, and advanced technology accounts for 30%.

However, this is only a quantitative comparison.

In fact, market size and sales are the key determinants of market factors.

From the perspective of market size, the share of advanced processes far exceeds that of mature processes, which means that fabs with advanced processes will receive more orders and earn more profits in the future, while fabs with only mature processes will face a situation of market space being squeezed and competition intensifying.

Therefore, the increasing share of advanced processes is not good for China's foundry industry.

In addition, most other wafer foundry companies still stay in the 40nm, 60nm and other process stages.

Despite a lot of orders, but due to the low technical threshold, fierce competition, limited profits, can only barely make a living.

In general, the wafer foundry market is becoming increasingly competitive, and with the progress of technology and changes in market demand, the share of advanced processes will continue to increase, while the share of mature processes may further decrease, which has an important impact on the future development of the wafer foundry industry.