Intel is having a tough time in the processor market — and things aren’t looking up for semiconductors either. Based on the third quarter of 2021, Omdia’s market experts calculate that the American tech giant cedes the number one position in the semiconductor market to Samsung.

Omdia’s market research shows that Intel lost its number one position in the semiconductor segment in the third quarter of 2021. Samsung Electronics takes the spot. The South Korean tech giant posted sales of over 18 billion euros ($20.96 billion) in the semiconductor market in Q3 2021, securing its first position. Intel posted total sales of over 16 billion euros ($18.79 billion).

This is the first time since the fourth quarter of 2018 that the American tech giant had to acknowledge its superiority to Samsung Electronics in the field of semiconductors. In third place is manufacturer SK Hynix, followed by Micron. Qualcomm is the biggest riser in this market segment, according to experts.

Growth of semiconductor market

According to Omdia researchers, it further shows that the semiconductor market grew by 7.6 percent overall in the third quarter of 2021. In doing so, total sales exceeded 133 billion euros ($150 billion). With this, the third quarter of 2021 scored a record.

Memory

About a third of semiconductor sales came from memory, making memory the largest market segment. NAND memory recorded the most sales. While display drivers and image sensors grew faster, the memory market is up to five times larger than those sectors.

In the third quarter, the memory sector was also very decisive for total semiconductor sales. It explains the growth of Samsung, which mainly supplies semiconductors for memory solutions. Other key drivers for the market segment included the chip shortage and seasonal influences.