The Zhitong Finance App learned that on June 27, Counterpoint Research announced the share of semiconductor and foundry companies and smartphone AP shares for the first quarter. In terms of semiconductors, in the first quarter of 2024, Samsung ranked first in the global semiconductor market due to strong demand from the memory market (especially DDR5 and storage for generative artificial intelligence). Nvidia ranked second, achieving revenue growth for a quarter in a row (19% month-on-month increase), thanks to its dominance in the field of artificial intelligence, which sparked a sales boom in the data center segment.

Intel's revenue fell 14% month-on-month in the first quarter of 2024 due to weak demand from Intel's foundry division, Altera, and Mobileye.

SK Hynix and Micron also benefited from a strong memory market, ranked fourth and seventh respectively during the quarter, and achieved continuous revenue growth.

Qualcomm and Broadcom ranked fifth and sixth respectively in the quarter, and both experienced single-digit month-on-month revenue declines due to weak core businesses.

Revenue share of Q1 foundry companies in 2024

Foundry revenue share

In the first quarter of 2024, the foundry industry showed mixed results, and there were some notable shifts in market dynamics. With strong demand for artificial intelligence accelerators, TSMC surpassed market expectations. The company raised its data center AI revenue forecast to double year-over-year in 2024 and expect AI revenue to grow at a 50% CAGR by 2028. Although CoWoS production capacity continues to expand, it is still insufficient to meet the surging demand for artificial intelligence. Samsung Foundry maintained the second position, although its revenue declined due to seasonal smartphone factors. Huaxin finished third for the first time. UMC and GF have both seen consumer and smartphone demand bottoming out, and the outlook for automotive demand is bleak in the near future. As channel inventories tend to normalize and streamline, strong demand for artificial intelligence and signs of a moderate recovery in terminal demand suggest that the industry is likely to grow in 2024.

Foundry industry revenue share by technology node

In the first quarter of 2024, the revenue share of the foundry industry showed significant changes by technology node, which was constrained by differences in demand from different industries. 5/4nm nodes dominate with strong demand for artificial intelligence, with a 26% market share. In contrast, the 3nm node experienced the most significant decline, falling from third place to fifth place, with a market share of 6%, mainly due to the off-season effect of iPhone production. The share of 7/6nm, 28/22nm, and 16/14/12nm nodes also fell to 12%, 8%, and 7%, respectively, mainly due to seasonal declines in the smartphone and PC markets. These trends highlight current developments in the foundry industry, where advanced nodes benefit from AI-driven growth, while traditional nodes face challenges from cyclical consumer electronics demand.

Global smartphone AP market share in Q1 2024

Global smartphone AP market share by shipment volume

MediaTek dominates the market with 40% market share. This strong performance is due to the growth in 5G SoC demand: with the spread of 5G in the smartphone market, demand for corresponding chips soared; the successful launch of the Dimensity 9300: MediaTek's third-generation flagship SoC, the Dimensity 9300, received a good market response and helped increase its market share; MediaTek has an advantage in the entry-level 5G chipset field: Thanks to this, MediaTek's market share is expected to grow further as 5G technology penetrates into the low-end mobile phone segment.

Qualcomm successfully entered the supply chain of Chinese smartphone manufacturers with the launch of the Snapdragon 8 Gen 3 flagship chip and Snapdragon 8 Gen 2, gaining 23% of the market share in the quarter. However, since the Samsung Galaxy S24 series uses both Qualcomm and Samsung chipsets, part of Qualcomm's market share has been encroached upon.

Global Smartphone AP Market Share by Revenue

Qualcomm is in the top position with a 36% market share. Its strong performance is mainly due to the strong demand for the newly released Snapdragon 8 Gen 3 chipset in the high-end smartphone market, and the second is the successful entry of Snapdragon 8 Gen 2 into the supply chain of Chinese smartphone manufacturers.

Apple is in second place with a 33% share, but due to seasonal factors, its revenue has declined compared to the previous quarter.

MediaTek ranked third with 17% market share. Although MediaTek's revenue in the first quarter also experienced a month-on-month decline (due to seasonal and sharp declines in LTE SoC shipments), shipments are expected to continue growing throughout the year thanks to increased demand for 5G and the successful mass production of its third-generation flagship chip, the Dimensity 9300.