Summary
TLDR: The cost of building state-of-the-art semiconductor facilities has increased to up to $30 billion, leading to a decrease in the number of companies in the industry due to the high investment required.
Key Points
1. The cost of building a new state-of-the-art semiconductor facility is estimated to be up to $30 billion, making it difficult for new firms to enter and stay competitive in the industry.
2. Some industries are moving towards ever bigger investments and capacity required to achieve scale, leading to a consolidation of companies in certain sectors.
3. The high cost of entry and scale in certain industries can lead to a decrease in competition and innovation, as only a few companies are able to afford the necessary investments.