Jibang Consulting: The total revenue of the top ten foundry companies in the third quarter increased 8.1% month-on-month to nearly US$45.1 billion

The Zhitong Finance App learned that according to the latest survey by TrendForce Jibang Consulting, the global foundry industry continued to be driven by AI high-efficiency computing (HPC) and demand for new consumer electronics main chips and peripheral ICs in the third quarter. High-priced wafers produced using advanced processes below 7nm (inclusive) contributed the most significant revenue. In addition, some manufacturers benefited from diversified business opportunities in the supply chain, boosting the total quarterly revenue of the top ten largest foundry factories by 8.1% quarterly to nearly US$45.1 billion.

TrendForce Jibang Consulting said that due to expectations that the market and demand in 2026 will be affected by the international situation, while memory prices will rise quarterly and production capacity will be tight since mid-2025, demand for mainstream terminal applications in the supply chain will be conservative in 2026. Even if automotive and industrial control will restart preparation at the end of 2025, it is estimated that the growth momentum of wafer foundry capacity utilization in the fourth quarter will be limited, and the quarterly increase in the total output value of the top ten companies may have clearly subsided.

Analyzing the revenue performance of major wafer foundries in the third quarter, the revenue of industry leader TSMC (TSM.US) was mainly supported by smartphones and HPC. It coincided with Apple (AAPL.US) actively preparing the iPhone series in the third quarter. In addition, NVIDIA (NVIDIA) Blackwell series platforms were in the peak production season. TSMC wafer shipments and average sales prices (ASP) both increased quarterly, with revenue of nearly US$33.1 billion, an increase of 9.3% per quarter, and the market share rose slightly to 71%.

Although the total capacity utilization rate of Samsung (Samsung) increased slightly from the previous quarter, its contribution to revenue was limited. It remained roughly the same as the previous quarter at about US$3.18 billion, accounting for 6.8% of the market, ranking second. SMIC (SMIC)'s capacity utilization rate, wafer shipments, and ASP all increased in the third quarter, leading to a 7.8% quarterly increase in revenue to US$2.38 billion, ranking third.

UMC (UMC) is in fourth place in revenue. Due to demand for ICs around new smart phones, PC/laptop products, and early delivery of some orders from European and American customers, driving mature process preparation, its overall capacity utilization rate increased slightly in the third quarter. Revenue increased 3.8% to nearly US$1.98 billion in the quarter, accounting for 4.2% of the market.

GlobalFoundries (GlobalFoundries)'s third quarter also benefited from IC prep orders for smartphones, laptops/new PCs, and wafer shipments increased slightly quarterly, but due to a one-time ASP cut, revenue remained the same as the previous quarter at approximately US$1.69 billion. Despite maintaining fifth place, the market share declined slightly to 3.6% due to competition in the industry.

Increased customer market share drives advertising demand, and Nexchip surpassed Tower to become 8th in revenue

HuaHong Group (Huahong Group) had third-quarter revenue of over US$1.21 billion, ranking sixth with 2.6% of the market. Its subsidiary HHGrace (Huahong Hongli) grew both wafer shipments and ASP compared to the previous quarter with the release of additional 12-inch production capacity and the start of wafer shipments due to price increases in the second half of the year. Despite a slowdown in DDIC orders in the second half of the year, the seventh-place Vanguard (world advanced) saw an increase in PMIC for new smartphone and PC/laptop products, driving growth in wafer shipments and ASP, and revenue increased 8.9% to US$412 million during the quarter.

In the third quarter, Nexchip (Hefei Crystalline) benefited from consumer DDIC, CIS and PMIC entering the new product preparation cycle, as well as increasing customer market share and driving upstream marketing demand. Revenue increased 12.7% to US$409 million in the quarter, surpassing Tower (Tower Semiconductor) to 8th place. Tower's capacity utilization rate and wafer shipments all showed quarterly growth, with revenue of about US$396 million, up 6.5% quarterly, and retreated to ninth place. PSMC (PSMC) wafer shipments increased slightly quarterly in the third quarter, and demand for DRAM-based memory and OEM prices strengthened, driving PSMC foundry revenue up 5.2% from the previous quarter to US$363 million.