Therefore, customers from the automotive industry need to communicate more closely with contract chip manufacturers.
In the second quarter of this year, TSMC’s HPC component revenue accounted for 43% of total revenue, with the smartphone segment in second place with 38% of the company’s total revenue. The automotive components market accounted for only 5% of TSMC’s revenue, but the company’s management is convinced, as noted DigiTimesthat by the end of the decade, the automotive segment will surpass the smartphone market in terms of turnover. By then, the automotive chip market will grow to $135 billion in annual terms.
Image Source: DigiTimes
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Along the way, TSMC’s director of automotive solutions and microcontrollers, Ming-Cheng Lin, said that auto component manufacturers need to maintain close ties with contract chip manufacturers. It usually takes at least five months from the order of car chips to their delivery, so it is better for automakers to discuss their own plans in advance. Secondly, TSMC representatives recommend that they keep a stock of components “just in case” in order to calmly survive possible periods of supply disruptions. Introduced by Japanese automakers, the fashion for the supply of components “just in time”, which reduced the cost of warehousing, in the conditions of the logistics crisis, ceased to ensure the rhythm of car production.
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