STMicroelectronics is taking full advantage of strong global demand for semiconductors. The Franco-Italian chipmaker recorded net sales of $3.5 billion in the first quarter, up 17.6% year-on-year.
With the shortage of electronic components and the explosion in demand due to the digitization of the global economy, STMicroelectronics is seeing its profits jump. Already in 2021, the company’s turnover has increased by almost 25%.
In this context, the Franco-Italian manufacturer plans to double its investments this year, to 3.2 billion euros in order to meet demand.
STMicroelectronics is not alone. All the chip manufacturers in the world plan to invest tens of billions of dollars by 2030. The semiconductor sector has become very strategic.
Indeed, the shortage is causing production interruptions in several industrial sectors, especially in the automotive sector. To reduce dependence on Asian manufacturers who dominate the world market, the European Union is also mobilizing major resources. It has already announced 43 billion euros in public and private investment to double its current market share to 20% by 2030.
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