In 2022, the global IC design industry reached a shipment value of US$201.6 billion, growing 18.5% year on year. A convergence of factors, including global inflation, the Russia-Ukraine conflict, U.S.-China competition, and interest rate hikes worldwide, has led to a slowdown and contraction in the global economy. Looking ahead to the latter half of 2023, a V-shaped or U-shaped recovery will be unlikely to happen. The best hope lies in the traditional peak season of the third quarter, where substantial pull demand within the supply chain may drive partial economic revival, according to MIC (Market Intelligence & Consulting Institute).
In terms of end products, smartphone brands began to cut orders and initiate inventory adjustments since the third quarter of 2022. This has prompted related chip suppliers to enter a period of inventory adjustment. In the PC sector, soft market demand in the first half of 2023 led to a gradual decline in PC shipments. Although the decline in global PC shipments showed a significant convergence to around 10% in the second quarter of 2023, global PC market demand is expected to still remain uncertain in the second half of 2023. This will continue to affect brands' demand for chips.
The world's top ten IC design companies accounted for 79.7% of the global IC design industry's total output in 2022 and their annual revenue growth of 18.1% surpassed the industry's average growth of 13.4%, according to MIC (Market Intelligence & Consulting Institute). This performance underscores the ability of major players to excel in product portfolios and capacity adjustments, even in the face of constrained consumer demand. As a result, these companies have managed to sustain a certain level of revenue and profitability.
Ranking of Global Top Ten IC Design Companies in 2022
|
2022 Ranking
|
2021 Ranking
|
Companies
|
2022 Revenue (US$ Million)
|
2022 Market Share
|
2022 YoY Growth
|
|
1
|
1
|
Qualcomm*
|
36,725
|
18.2%
|
25.2%
|
|
2
|
2
|
Nvidia
|
24,503
|
12.2%
|
5.7%
|
|
3
|
3
|
Broadcom
|
23,972
|
11.9%
|
26.7%
|
|
4
|
5
|
AMD
|
23,601
|
11.7%
|
43.6%
|
|
5
|
4
|
MediaTek
|
18,506
|
9.2%
|
4.7%
|
|
6
|
6
|
Apple*
|
17,824
|
8.8%
|
20.6%
|
|
7
|
8
|
Marvell
|
5,894
|
2.9%
|
37.8%
|
|
8
|
9
|
Realtek
|
3,774
|
1.9%
|
-0.1%
|
|
9
|
7
|
Novatek
|
3,734
|
1.9%
|
-23.0%
|
|
10
|
11
|
BitMain
|
2,135
|
1.1%
|
-24.8%
|
|
Top 10 Total
|
160,665
|
79.7%
|
18.1%
|
|
Fabless IC Design Total
|
201,600
|
100.0%
|
13.4%
|
| |
|
|
|
|
|
Note: Qualcomm, Apple only include revenue from IC design business
Source: Respective companies, compiled by MIC, October 2023
Established in 1987, MIC is a division of III (Institute for Information Industry), a major government think tank, and one of the leading IT research institutes in the Asia Pacific region.
To know more about this topic, please visit: 2022 Recap and 2023 Development of the Global IC Design Industry (pre-order), 2022 Recap and 2023 Development of the Worldwide Semiconductor Foundry Industry, Development of the China IC Packaging and Testing Industry and Key Players, Development Highlights of Taiwan's Semiconductor Industry, 2Q 2023 (pre-order), Taiwan IC Packaging and Testing Industry, 2Q 2023, Taiwan Fabless IC Industry, 2Q 2023, Taiwan Semiconductor Manufacturing Industry, 2Q 2023
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