At present, the SoC market maintains a high degree of prosperity, and the financial reports of related companies have increased significantly in the first quarter. In the evening, Rockchip released a semi-annual performance forecast, and the net profit attributable to the parent company in the first half of the year was 153.6 million yuan to 189 million yuan, a year-on-year increase of 924.00% to 1160.00%, the key is a sharp increase in the previous month, and the performance exceeded expectations. From the perspective of the industry, on the demand side, with the recovery of consumer electronics, terminal manufacturers have ushered in a new product replacement cycle under the trend of AI+, and SoC chips have benefited significantly as the "brain" of smart devices.
Technology is the fundamental driving force for the continued popularity of the SoC sector. In recent years, with the continuous improvement of semiconductor manufacturing processes, SoC chips have achieved significant improvements in integration, computing power, power consumption, and cost. The successful research and development of high-computing SoC chips not only meets the demand for powerful computing power in cutting-edge fields such as AI and high-performance computing, but also provides solid technical support for the expansion of emerging markets such as consumer electronics and automotive electronics. In addition, the rapid development of device-side AI has further promoted the application of SoC chips in smart homes, Internet of Things and other fields, making the market demand for SoC chips continue to grow.
Market demand is another important factor driving the continued hot SoC segment. With the recovery of the global economy and the improvement of consumer confidence, the consumer electronics market is gradually picking up, and the sales of wireless earphones, smart watches, smart glasses and other terminal products continue to grow, driving the demand for SoC chips.
Figure: The SoC sector continues to be hot
At the same time, the rapid development of emerging fields such as 5G, Internet of Things, artificial intelligence, etc., has also brought new growth points for SoC chips. The wide application of intelligent cockpit chips in the field of automotive electronics is a typical example of the expansion of SoC chips in emerging fields.
The support of government policies is another important driver for the continued popularity of the SoC sector. In order to promote the development of the semiconductor industry, governments around the world have introduced a series of supportive policies, including the establishment of special funds, tax incentives, etc. The implementation of these policies provides a strong guarantee for the R&D and production of SoC chips, reduces the operating costs of enterprises, and improves their competitiveness. In China, the government has listed the semiconductor industry as one of the key development areas, and promoted the improvement of its technical level and the process of localization substitution by increasing support for domestic SoC chips.
The acceleration of the trend of localization substitution is also one of the important reasons why the SoC sector continues to be hot. With the changes in geopolitics and the international trade environment, domestic companies are becoming more aware of the importance of reducing their dependence on imported chips. Therefore, they have increased investment in the R&D and production of domestic SoC chips, and strive to improve their independent innovation capabilities. This trend not only promotes the rapid progress and performance improvement of domestic SoC chip technology, but also provides a broad space for its expansion in the domestic market and even the global market.
Behind the continued popularity of the SoC sector is the combined effect of multiple factors such as technological innovation, market demand growth, policy support, and the trend of localization substitution.
