Global Semiconductor Market Forecast

Published:2011/6/22 2:46:00 Author:Phyllis From:SeekIC

According to market research firm IHS iSuppli, the 2011 global semiconductor market will be worth 325.9 billion dollars, reaching an increase of 7.2 percent than 304.1 billion dollars in 2010. This conclusion is from the April IHS iSuppli outlook, which predicted revenue would increase 7 percent more this year.

IHS also predicts that during the period of from 2010 to 2015, the semiconductor market will take a growth rate of 6.3 percent. This opinion is in the opposite position to the prediction of Gartner which means a drop of 1.1 percent. According to Gartner, the market growth will be down to 5.1 percent from its previous 6.2 percent.

The conditions in front of the chip market is resilient and also uncertain. These predictions are mainly based on the soaring sales of smartphones and tablet computers. The semiconductor industry is set for a year of solid growth in 2011 thanks to the hardiness of the global electronics supply chain. The market’s expansion will not affected either by the Japan earthquake or the gloomy economic condition. As a matter of fact, the semiconductors demand for hot items like tablets and smartphones has been so strong that IHS has slightly adjusted its forecast to accommodate the improved outlook.

The rest part of the year may experience sequential quarterly growth with revenue increased by 2.9 percent in the second quarter and by 7.4 percent in the third. The 2011 annual growth will be 7.2 percent, this number will moderate, rising by 4.8 and 4.0 percent, then accelerating to 8.0 percent and 7.5 percent expansions during the next two years, IHS said. By the year 2015, semiconductor revenue will reach a milestone of 411.8 billion, that is to say, between 2010 and 2015, the average growth rate is 6.3 percent every year.

The largest semiconductor demand growth in 2011 will appear for the the wireless and mobile industry, and the buoyed by demand for smart phones, tablets and e-readers, causing a 17.6 percent increase in related chip revenues. The second-fastest growth will show in the much smaller industrial electronics segment, with revenue rising by 7.3 percent. Segments with slowest growth include consumer electronics and automotive electronics at 3.1 percent and 3.0 percent respectively.

In comparison, semiconductor revenue this year for wired communications is expected to involve memory, microprocessors, light-emitting diodes, discrete components, sensors and general-purpose analog integrated circuits. Collective revenue from these products is projected to rise by more than 12 percent in 2011, with CMOS image sensors leading all products with 36 percent growth. The related integrated circuit is MA793.

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