Core Viewpoint - The outsourced semiconductor testing services market is experiencing significant growth, driven by the increasing specialization in the semiconductor industry and the trend of companies outsourcing non-core testing functions to focus on their core competencies [5][6][9]. Market Overview - The global outsourced semiconductor testing services market is projected to reach approximately $8.54 billion in 2024 and is expected to grow to $14.10 billion by 2031, with a compound annual growth rate (CAGR) of 6.80% from 2025 to 2031 [5][11]. - In China, the market size is anticipated to reach $2.73 billion in 2024 and $5.31 billion by 2031, with a higher CAGR of 9.00% [14]. Industry Drivers - The trend towards specialization in the semiconductor industry, exemplified by the Fabless+Foundry+OSAT model, is leading to increased outsourcing of testing services [5]. - Government support for the semiconductor industry, including R&D subsidies and tax incentives, is creating a favorable environment for the growth of outsourced testing services [5][6]. - The demand for advanced semiconductor components in various industries, such as automotive and consumer electronics, is driving the need for professional testing services [17]. Key Players - Major companies in the outsourced semiconductor testing services market include ASE Group, King Yuan Electronics, JCET, Tongfu Microelectronics, Amkor, and others. ASE Group is the largest player, with an estimated revenue of $1.86 billion, accounting for 21.71% of the global market [8][9]. Market Segmentation - The market is primarily segmented into wafer testing, finished product testing, and others, with wafer testing representing the largest segment, projected to generate $3.70 billion in 2024, approximately 43.29% of the total market [8][9]. Technological Advancements - The increasing complexity of semiconductor technologies, such as 3D packaging and system-on-chip (SoC) designs, is raising the demand for advanced testing services to ensure product quality and performance [8][9]. Cost and Efficiency Benefits - Outsourced testing service providers can achieve economies of scale, reducing testing costs while improving efficiency and shortening time-to-market for semiconductor products [9][17].

Core Viewpoint - The company reported a decline in revenue and profitability due to a challenging market environment, particularly in the consumer chip testing segment, while the new Lingang project is progressing as planned without any early or delayed completion issues [1][2][4]. Financial Performance - In 2024, the company achieved a revenue of 276 million yuan, a year-on-year decrease of 12.43%, and incurred a loss of 42.03 million yuan, transitioning from profit to loss [2]. - The revenue from wafer testing dropped by 34.28% year-on-year, influenced by increased competition and a decrease in average service prices [3][4]. Market Conditions - The integrated circuit industry is experiencing structural differentiation, with weak demand for consumer chips and a growing demand for high-end automotive and AI chips that has not compensated for the overall decline [2][3]. - The testing service market is characterized by intense homogenization, leading to a decrease in service prices and impacting overall revenue [2][3]. Project Development - The Lingang integrated circuit testing industrialization project is on track, with a total budget of 800 million yuan and an expected construction period of around two years. As of May 31, 2025, 745 million yuan has been invested, with 650 million yuan already capitalized [4][5]. - The project has begun trial production in the first half of 2024 and officially commenced production in June, contributing to increased revenue in the fourth quarter [4][5]. Client Dynamics - The company faced instability in downstream customer demand, with significant revenue decline from a major client, which saw a year-on-year decrease of 71.82%, reducing its contribution to total revenue from 21.85% in 2023 to 7.03% in 2024 [2][3].

Core Viewpoint - The global semiconductor testing services market is projected to reach $21.02 billion by 2031, with a compound annual growth rate (CAGR) of 6.9% from 2025 to 2031 [1]. Market Overview - Semiconductor testing services involve specialized techniques to detect defects and verify product compliance throughout the semiconductor supply chain, including wafer testing, finished product testing, and laboratory analysis [1]. - The market is dominated by wafer testing, which accounts for approximately 45.8% of the total market share [5][9]. - The primary application for semiconductor testing services is in computing and networking, representing about 52.8% of the market [11]. Market Players - Major global semiconductor testing service providers include ASE Group, TSMC, and Samsung, with the top five companies holding around 41.0% of the market share in 2024 [4][20]. Market Drivers - The shift in the global semiconductor supply chain and domestic substitution is driving growth in the semiconductor industry, particularly in China, which is the largest single regional market [14]. - Emerging industries such as 5G, smart vehicles, and AI are increasing demand for semiconductor products, necessitating enhanced testing services to ensure reliability and performance [14]. - The advancement of semiconductor processes requires stringent quality control, leading to higher demand for testing services [15]. - The trend towards specialization in the semiconductor industry, including the Fabless+Foundry+OSAT model, is fostering the growth of independent testing services [15]. Market Challenges - The semiconductor testing industry faces technical challenges due to the increasing complexity of integrated circuit processes, requiring advanced testing technologies [16][18]. - There is a high dependency on imported high-end measurement and testing equipment, with domestic production rates remaining low [18]. - Financial pressures arise from the need for expensive high-end equipment and ongoing investments in technology and talent development [18][19]. - A shortage of skilled professionals in the semiconductor testing field poses a risk to the industry's growth and competitiveness [19]. - The market is becoming increasingly competitive, with many new entrants, making it essential for companies to enhance their technological capabilities and service quality [19].