Although the growth of the automotive market has remained resilient, the trend of automotive intelligence and electrification is clear and an important driver for the future semiconductor market. ADAS accounts for the largest share of the automotive semiconductor market, with a compound annual growth rate (CAGR) of 19.8% by 2027, accounting for 30% of the automotive semiconductor market in that year. Infotainment accounts for the second largest share of the automotive semiconductor market, with a CAGR of 14.6% by 2027, accounting for 20% of the market in that year, driven by automotive intelligence and connectivity. Overall, more and more automotive electronics will rely on chips, which means the demand for semiconductors will be long-term and steady.

3: Semiconductor AI Applications Spread from Data Centers to Personal Devices

AI is making a big splash because data centers require higher computing power, data processing, complex large language models, and big data analytics. With the advancement of semiconductor technology, it is expected that more AI functions will be integrated into personal devices starting in 2024. AI smartphones, AI PCs, and AI wearable devices will be gradually launched into the market. It is expected that there will be more innovative applications for personal devices after the introduction of AI, which will positively stimulate the increase in demand for semiconductors and advanced packaging.