Part 9/11:
Investors often view chip manufacturing companies as enablers of technology rather than mere commodities. The industry has seen considerable consolidation over the past five years, with a small number of firms holding the technological and pricing power necessary to sustain long-term growth.
Two primary types of chip companies are attracting attention:
Domestic Chinese Players: Firms like Semiconductor Manufacturing International Corporation (SMIC), benefiting from rising demands for self-sufficiency amidst geopolitical tensions.
Global Market Leaders: Companies with mature, advanced technology capabilities capable of weathering industry cycles and providing sustained shareholder value.