Semiconductor startups will get $6 billion in 2022

According to Deloitte, these investments reflect the increase in demand for chips in the context of a prolonged supply crisis.

Among all the crises that the IT sector has experienced in 2021, the shortage of chips has been one of the most alarming. In 2022, the industry is preparing for a recovery, with Deloitte predicting that many types of chips will still be in short supply this year, although the reality is less severe than most of last year.

“There will be delays throughout 2022 until supply meets growing demand. […] It’s not just the proliferation of consumer devices, it’s the fact that many mechanical products in industry are becoming increasingly digital, and many verticals are becoming increasingly reliant on digitalization in technology, media and telecommunications – TMT Predictions”.

Reflecting this market crisis are opportunities that venture capital funds are sniffing out in startups in the sector. Deloitte predicts that venture capitalists around the world will invest more than $6 billion in semiconductor startups in 2022.

The study also highlights other trends, such as the deployment of Wi-Fi 6 which will continue to overtake 5G devices and the use of homomorphic encryption to manage confidential data.

According to the Deloitte survey, despite the commercial rollout of 5G, Wi-Fi 6 devices vastly outperform 5G devices and will likely continue to do so for years to come. At least 2.5 billion Wi-Fi 6 devices are expected to launch in 2022 compared to around 1.5 billion 5G devices.

The reason for this is that Wi-Fi 6, along with 5G, has an important role to play in the future of wireless connectivity, not only for consumers, but also for businesses. Smartphones, tablets, and PCs are some of the most popular Wi-Fi 6-equipped devices, but Wi-Fi 6 is also used in many others, including wireless cameras, smart home devices, game consoles, and more. games, wearables and AR/VR headsets. .

AI and sensitive data

The year 2022 will also see plenty of talk about more systematic regulation of AI, with proposals to be made – although the enactment of these into actual regulations is unlikely to happen until 2023 or beyond, believes Deloitte.

“Some jurisdictions may even try to ban subdomains of AI such as facial recognition in public spaces, social punctuation, and subliminal techniques. Driven by the growing urgency to protect data used in AI applications, emerging privacy-enhancing technologies such as homomorphic encryption and federated learning will also experience dramatic growth. Stressed the study.

Used by leading technology companies, the homomorphic encryption and federated learning market will grow by double digits by 2022 to over $250 million. By 2025, this market is expected to reach $500 million.

Leave a Comment