Emerging business trends in the semiconductor industry

This paper describes the evolving trends in the major business segments of the semiconductor industry. As the MOSFET device dimensions approach to their ultimate scaling limit, the progress in the semiconductor industry has slowed down significantly. In order to maintain the competitive advantage, the different segments of the semiconductor industry are adopting new business strategies as the industry continues to evolve. In the emerging business trends, the R&D is continuously searching for the next generation devices and technologies; dedicated foundries are transitioning to become complete product development solution providers; fabless companies are adopting innovative business strategies to compete in the global market; the integrated device manufacturers are outsourcing some of their production to foundries; and the assembly and test business segment is developing scaled packages to gain competitive advantage. As a result, the semiconductor business model is evolving continuously. This paper discusses the evolution of the different segments in the semiconductor industry.