2023: The Golden Age of Semiconductors

The development of semiconductor circuits and systems has garnered unprecedented attention from governments worldwide as a result of reforms in the global semiconductor manufacturing and supply chain. This has been driven by concerns over the security of the supply chain, which has led to the introduction of various national initiatives, such as the United States’ CHIPS Act, aimed at promoting local manufacturing and R&D. The demand for semiconductors and its impact on related industries has resulted in over
$\$ $
160 billion in capital expenditures in 2022. We are in the golden age of semiconductors. On the other hand, the global semiconductor market is expected to experience a 4% decline in 2023, reaching a total of about
$\$ $
550 billion, marking the first annual contraction since 2019. The decrease in growth of the global semiconductor market is seen as a potential harbinger of broader economic troubles, leading to recent and planned job cuts at major companies within the industry.