The Semiconductor Cost Of Goods Sold

COGS And Semiconductor

The semiconductor industry is a complex and highly competitive market, with companies constantly striving to reduce costs and improve efficiency. One key metric that semiconductor companies use to measure their performance is the Cost of Goods Sold (COGS), which represents the direct costs associated with producing and selling their products.

Let us examine the semiconductor COGS in more detail and identify the key components of this critical metric.

Key Components Of Semiconductor COGS

The critical components of the Semiconductor Cost of Goods Sold (COGS) include wafer cost, fab labor, fab overheads, equipment and tooling, materials and consumables, packaging and testing, yield losses, and inventory obsolescence. Below is the approximate breakdown of how each of these components contributes to the total cost of a given semiconductor product.

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