Myeong-seok Chae, Gounee Yang

Global Economic News

SOUTH KOREA, home to major memory chip suppliers like Samsung Electronics Co. and SK Hynix Inc., ranked second in global semiconductor sales last year, a report showed Wednesday.

According to the market research firm IC Insights, South Korean companies recorded a share of 22% in the global semiconductor market in 2021, ranking second only to the United States (54%).

The research was based on the location of the headquarters of those IDM and fabless companies that are selling semiconductor products directly under their own brand names. Foundries were not included as they do not sell chips directly.

South Korean companies took up 33% of the IDM market, thanks to strong sales of Samsung Electronics and SK Hynix, the two largest Korean chip makers. On the other hand, South Korean companies’ presence in the fabless market remained weak, accounting for 1% of the global market.

The United States ranked first in both IDM and fabless segments, with a 47% share in IDM and 68% in fabless. “The U.S. has maintained the balance in global IDM and fabless markets, while South Korea is particularly weak in the fabless field,”said an official from IC Insights.

It was followed by Europe and Japan, each with a 6% market share.