The Status of Semiconductor Market

Published:2011/9/22 3:39:00 Author:Li xiao na From:SeekIC

According to the predication of HIS iSuppli, the semiconductor market will grow by 2.9%. This data is better than the previous forecast of Gartner.

The continuing impact of a weakened and stagnant economy is expected to continue to drag on the semiconductor market in 2012, limiting revenue growth to 3.4%. The growing economic weakness has influenced on the worldwide electronics and semiconductor industries just as these markets are entering the critical pre-holiday sales season. The economic problem has lasted into 2011; consumer spending could have still kept a reasonable level of growth in electronics demand if conditions had remained reasonably stable. However, the dramatic decline and instability of the economy has reasserted itself as the primary driver of tepid electronics and semiconductor revenue growth in 2011.

The predication of the global GDP growth is 3% in September, and the forecast for advanced economies is 1.4% growth. In order to protect itself, companies are taking defensive action and working to reduce inventories and production levels. The expansion of semiconductor revenues will be a low single-digit in the third quarter.

The semiconductor suppliers in Japan are heavily influenced by the disaster, and they returned to production in a impressively short time. The returned Japanese market may bring boost to the semiconductor market.

Suppose there’s another recession this year, the economic growth will be flat in 2011. The shipments of the smartphone and tablet should grow by 16.7% in the wireless market in 2011, and the shipment of personal computer will grow in the low single-digit range. The industrial electronics applications will also increase. The revenues of wired communications, consumer electronics and automotive electronics will decrease in this year. The revenues of DRAM will reduce by more than 18%, when the NAND flash, image sensors, LEDs and other sensors are going to gain strong growth of double-digit.

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