Output value for the global IC foundry industry is forecast to surge more than 20% in 2020, and will register another on-year growth but at a slower pace in 2021, according to Digitimes Research.

Digitimes Research notes that 5G and pandemic have accelerated digital transformation and driven chip demand, boosting foundry output.

TSMC is expected to report record profits in 2020. GlobalFoundries, UMC, VIS, SMIC and TSMC are also running their 8-inch fabs in full capacity, with 12-fab capacity also running tight.

The acceleration in digital transformation is being drived by demand for RF front-end modules, RF switches, power management ICs and others that are related to 5G handsets.

By DIGITIMES