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The increasing use of the internet of things (IoT), 5G, artificial intelligence (AI), and electric vehicles (EVs) is expected to continue driving the demand for semiconductor chips. According to IDC, the semiconductor market is expected to grow by 17.3% in 2021. Furthermore, most companies in this space are ramping up their production to meet the rising demand.
Thus, we believe quality small-cap chip stocks Cohu Inc. (COHU) and Alpha and Omega Semiconductor Limited (AOSL) could be solid bets now.
