Cost of Revenue Trends: Applied Materials, Inc. vs Microchip Technology Incorporated

Cost of Revenue Trends: A Tale of Two Tech Giants

In the ever-evolving landscape of the semiconductor industry, Applied Materials, Inc. and Microchip Technology Incorporated have showcased intriguing cost of revenue trends over the past decade. From 2014 to 2024, Applied Materials has seen a remarkable 173% increase in its cost of revenue, peaking at approximately $14.3 billion in 2024. This growth reflects the company's expanding operations and market influence. In contrast, Microchip Technology's cost of revenue has grown by 229% during the same period, reaching around $2.6 billion in 2024. Despite the smaller absolute figures, this growth underscores Microchip's strategic scaling and efficiency improvements. These trends highlight the dynamic nature of the semiconductor sector, where companies must balance cost management with innovation to maintain competitive advantage. As we look to the future, these insights provide a glimpse into the strategic maneuvers of two industry leaders.