YG PRESS NEWS – Microcontroller market: shifting trends and price surges

According to Yole Intelligence, part of Yole Group, in the Microcontroller (MCU) Market Monitor, Many global economies are still undergoing recovery and readjustment processes in the aftermath of the Covid-19 pandemic. The presence of global conflicts and trade tensions is further fueling market uncertainty and inflation, leading to concerns about potential recessions, which have been extensively covered in the news. Amidst this environment of uncertainty, the semiconductor market is particularly affected. The projected shipments of microcontrollers (MCUs) for 2023 indicate a decline of nearly 10% compared to 2022. Nevertheless, despite the challenges faced by the MCU market, it is managing to overcome the supply chain issues caused by the pandemic and gradually returning to more normal seasonal cycles. It is noteworthy that there is a significant shift in product mix towards more advanced and higher-priced products. The market is also holding onto the price increases resulting from manufacturing capacity scarcity. As a result, revenue is expected to increase by 2% due to a surge in average selling prices (ASPs) of 12% year over year.While the ASP of an MCU is expected to reach its peak this year at $0.92, it is projected to decline only slightly in the forecast period and is not expected to return to pre-pandemic levels in the foreseeable future… For more information about this analysis, please contact us!