The Semiconductor Stack — A Long-Term Investor's Map
Semiconductors are not one market. They are an interdependent stack of design software, intellectual property, manufacturing, equipment, materials, packaging and end demand.
Map the bottlenecks
flowchart TB
A[EDA and IP] --> B[Chip design]
B --> C[Wafer fabrication]
D[Equipment and materials] --> C
C --> E[Advanced packaging]
E --> F[Cloud · Edge · Devices] The most attractive business is not always the one with the loudest product launch. Long-term research asks where technical difficulty, switching costs, capital intensity and ecosystem lock-in create durable bottlenecks.
Research questions
- Which layer captures value when compute demand grows?
- Where does capacity take years rather than quarters to add?
- Which tools are deeply embedded in customers’ workflows?
- What breaks the thesis: substitution, geopolitics, cyclicality or valuation?
This journal records a research process, not financial advice. A good thesis must include the conditions under which it is wrong.
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