Contract chip manufacturers are convinced of this.
TSMC and UMC were forced to cut capital expenditures as demand for their advanced lithography components declined. At the same time, as DigiTimes explains, the demand for mature lithographic standards has not decreased, 40-nm, 28-nm and 22-nm technical processes are in demand. First of all, the chips produced on them are needed in the automotive segment.
Image Source: DigiTimes
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In principle, the forecasts of the automakers themselves on the continued shortage of semiconductor components until the end of this year confirm the presence of demand in this segment. Mature lithography is also needed in the production of components for Wi-Fi controllers. The electrification of the fleet is only increasing the demand for chips from the automotive industry, not to mention the trend of automating many vehicle control functions. The problem is exacerbated by the fact that contract manufacturers themselves are in no hurry to expand lines specializing in mature lithography, so supply continues to lag behind demand.