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>Europe’s share of the 440-billion-euro ($533 billion) global semiconductor market is around 10%, with the EU currently relying on chips made abroad. $533 bill
by ginko 6y ago
>Europe’s share of the 440-billion-euro ($533 billion) global semiconductor market is around 10%, with the EU currently relying on chips made abroad.
$533 billion for the entire semiconductor industry seems small.. That's like .25 Apples.
- igravious 6y ago“Decadal Plan calls for $3.4 billion annually in [US] federal R&D funding to address seismic shifts in chip technology and pave way for emerging technologies like artificial intelligence, quantum computing, advanced wireless communications”† So that would make proposed annual US federal funding in semiconductor R&D like .0016 Apples You're right – when you put it like that it does appear very small. † (Oct 15, 2020) https://www.prnewswire.com/news-releases/semiconductor-industry-announces-research-and-funding-priorities-to-sustain-us-leadership-in-chip-technology-301152899.html https://www.prnewswire.com/news-releases/semiconductor-indus...
- TulliusCicero 6y agoSounds like you're comparing revenue with market cap, which doesn't make much sense. Apple's recent annual revenue was ~275B.
- ginko 6y agoI assumed the 440B was the market cap of the industry. Why would they mention revenue without specifying.
- killtimeatwork 6y agoThey said "market", which is the place where things are bought and sold. That's why it's fairly clear that they refer to revenues and not companies valuations.
- oblio 6y agoBecause it's quite standard to mention sales, you know, actual revenue, not market cap, which can be 1 today and 1 billion tomorrow, depending how the hype trains move.
- TulliusCicero 6y agoWhy would they mention market cap without specifying? When financial articles say, "20% of the market", they're always talking about revenue by default.
- ichbinwiederda 6y agoIt is not small. It is just that other tech companies you are comparing to are relatively overvalued, because branding and speculation inflate their worth. I like to think of it like this: if magically the whole semi-conductor industry vanished overnight the world would be much poorer. We would be in a crisis. If magically the whole of Apple vanished overnight, we'd still have smartphones and laptops and tablets and basically all the tech that Apple makes. Just goes to show that what the market values and what is actually valuable in aggregate are not metrics that are in tune. At the start of this century, some famous American investment bank (Citigroup ?) came up with a report that said that in the near future (today) stocks which are luxury items will grow much faster than stocks that are essentials. And that is exactly what seems to have happened. The report said this was due to increasing economic inequality. Basically the middle classes of the first world have money to spare so they buy Apple Iphones and Tesla cars. The poorer people have less money and none to spare.
- lnsru 6y agoHardware indeed plays a minor role in income streams of the companies. Just look at regular iPhone teardown: https://www.cultofmac.com/658650/iphone-11-pro-max-production-cost-bill-materials-bom/ https://www.cultofmac.com/658650/iphone-11-pro-max-productio... Less than half for hardware.
- deleted 6y ago[deleted]