Semiconductor industry will grow 10% in 2010
Chip demand will be strong for the next two years, and by 2011 semiconductor revenue will total $262 billion
Jim Carbone -- Purchasing, 11/9/2009 4:28:14 PM
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The worldwide semiconductor market will end the year
declining 11.6% to $219.7 billion, but then bounce back in 2010 when sales grow
10.2% to $242.1 billion, according to the Semiconductor Industry’s
Association’s annual forecast.
The industry will post 8.2% growth in 2011 when revenue tops $262.3 billion.
The forecast is higher than the SIA’s previous projections. Earlier this year, the SIA said chip sales would decline 21.3% to $195.6 billion.
SIA President George Scalise says the brighter outlook reflects an improved global economy. The outlook also reflects better-than-expected PC and cell phone sales. Those end market segments, which account for about 60% of semiconductor demand, are expected to stay healthy in 2010 and 2011.
The SIA released its annual forecast on the heels of strong third-quarter growth for the chip industry.
Worldwide sales of semiconductors in the third quarter increased nearly 20% to $61.9 billion, compared to second quarter sales of $51.7 billion. However, third quarter 2009 sales were down from 10.1% from the third quarter of 2008.
Chip sales in September reflected historical patterns. Sales
increased because OEMs and electronics manufacturing services providers are
building equipment that will be sold during the holiday season.
Semiconductor sales will likely stay strong in November before slowing down in December and the first quarter of next year. Eighty-eight percent of buyers surveyed by Purchasing magazine say that they expect their purchase orders for semiconductors to be the same in November as they were in October, while only 8% said they would decline and 4% said they would increase.
See also: Global semiconductor demand increased 17% in second quarter
Semiconductor sales rise again
02/09/201011-Month Chip Sales Up 2.8%
01/16/2008Semiconductor sales increased 5.4% in May
07/05/2009Chip revenue will decline 5.6% in 2009
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