Turnaround for smartphone AP-SoC market in 2024 after two years of declines – Counterpoint Research

After two years of significant declines, the smartphone semiconductor market is likely to turn the corner, with 2024 smartphone AP-SoC shipments rebounding 9% YoY, according to Counterpoint Research's latest Smartphone AP-SoC Long-term Shipment Forecast by Node and Foundry. The key driver of this growth will be the transition from 5/4nm chips to 3nm chips across flagships, as well as expected growth in premium and ultra-premium smartphones. TSMC will be the key foundry beneficiary here in the long term.

Supporting the growth of advanced nodes will be 5/4nm, which is set to become another long-term node as smartphone OEMs switch more of their portfolios to entry-level 5G, thanks to growth in emerging markets, growing consumer awareness, and rise in demand for 5G as a feature in line with expanding network coverage.

SMIC will see increasing relevance in 7/6nm but will likely face challenges in any shift towards more advanced nodes as DUV equipment bans slow progress.

2nm continues to be elusive but will likely emerge in 2026 with the arrival of Apple's iPhone 19 series.

Read the full press release here.

Counterpoint Research