A severe shortage of microchips due to the coronavirus has disrupted production plans in the auto industry. Among them, the chip shortage has a more obvious impact on the electric vehicle industry. Relevant data show that in 2021, the global automotive semiconductor market will be about 43.6 billion US dollars. With applications such as electric vehicles, 3D mapping, automotive automation, and more, more than $115 billion of semiconductors will be used in the automotive industry by 2030.

TSMC is the world‘s largest pure-play semiconductor foundry and dominates the chip market. As a pure-play foundry, TSMC will account for 54% of total global foundry revenue in 2020. TSMC‘s customers can be divided into three categories - integrated device manufacturers, systems companies and fabless companies. TSMC produces more than 10,000 products for nearly 500 customers around the world. It is reported that even the largest automotive semiconductor manufacturers with their own manufacturing facilities, such as Infineon, NXP, STMicroelectronics and Texas Instruments, have also outsourced some chip manufacturing operations to TSMC. So while we can list the clear top chipmakers in the automotive industry, TSMC itself has a unique advantage in chipmaking as a giant in a separate category.

So aside from TSMC, who are the larger automotive semiconductor manufacturers? What is their market share? How did it perform? This article sorts out the top automotive chip companies in the segment.

1. Infineon Technologies AG

Infineon Technologies AG ("Infineon") is a German semiconductor manufacturer that produces chips for a number of automotive companies, including Volkswagen and others. Affected by the new crown epidemic, Infineon suspended some production last year. Infineon is the world‘s leading high-performance semiconductor company with a market share of 13.2% in 2020.

Recently, Infineon invested more than 2 billion euros to build a new factory in Kulim, Malaysia to expand its market leadership in power semiconductors. When the new plant is fully operational, the company is expected to increase its annual revenue by 2 billion euros.

An Infineon executive expressed optimism about the chip outlook, saying chip shortages will end in 2023. Therefore, to meet the growing demand, Germany-based Infineon plans to expand its production capacity. To this end, the company has also increased its investment of 1.6 billion euros (about 1.8 billion U.S. dollars) in its semiconductor factory in Villach, Austria.

2. NXP Semiconductors

Headquartered in Eindhoven, NXP Semiconductors (NXP) is a Dutch semiconductor designer and manufacturer. The company has been a well-known brand in the automotive semiconductor space, with a 10.9% share of the overall semiconductor market in 2020.

NXP Semiconductors has a broad portfolio of automotive chips that can be used in systems such as infotainment systems, tire pressure monitoring systems, and V2X (Vehicle-to-Outer Information Exchange) communications.

In 2021, NXP Semiconductors achieved revenue of $11.06 billion, a year-on-year increase of 28%. Currently, the company has a total market capitalization of $48.19 billion.

3. Renesas Electronics Corporation

Renesas Electronics Corporation (hereinafter referred to as "Renesas Electronics") is one of the world‘s largest automotive chip manufacturers. More than 50% of Renesas‘ revenue comes from the automotive industry. In 2020, Renesas‘ market share was 8.5%.

Renesas Electronics is a global player not only in automotive semiconductors, but also in microcontrollers and processors. This combination of digital and analog products provides a one-stop solution for automakers looking for technology to support their vehicles. Renesas‘ chips are mainly used in automotive cameras and battery systems in Germany and China. In the future, the company hopes to add more applications, such as higher-resolution rear-view cameras at lower costs.

Currently, Renesas Electronics has a total market capitalization of more than $21 billion. In 2021, its operating income was $7.3 billion, up 12% year over year.

4. Texas Instruments

Texas Instruments (hereafter "Texas Instruments") forms a complex list of products ranging from automobiles to calculators. Still, Texas Instruments has been one of the biggest players in the automotive semiconductor industry, with better profit margins in a highly competitive business.

Texas Instruments has a market share of 8.3% in 2020. In 2021, Texas Instruments‘ operating income will be $18.344 billion. As of March 2022, Texas Instruments has a total market capitalization of $165.38 billion.

5. STMicroelectronics

STMicroelectronics, a Geneva-based chipmaker focused on automotive semiconductors, counts electric car maker Tesla and iPhone maker Apple as its biggest customers. In 2020, STMicroelectronics has a market share of 7.5%.

In 2021, STMicroelectronics‘ operating income will be $12.76 billion, a year-on-year increase of 24.9%. As of March 2022, its total market capitalization is $39.07 billion.

The above is the introduction of the five largest automotive chip companies in the world.