Components | August 15, 2011
Q2 surprise: Graphics shipments up 6.3%
Shipments during the second quarter of 2011 did not behave according to past years with regard to seasonality, and was higher on a year-to-year comparison for the quarter. 2011 is shaping up to be an anomalous year as businesses take their own path to recovery.
Normally, the second quarter of the year is a slower business quarter in the graphics industry (and in the PC industry as a whole). This year, Q2’11 did not conform to the normal seasonal cycle. Instead, sales were up significantly compared to previous years. The growth in Q2 comes as a welcome change, if not a bit worrying—is it inventory building for back to school and the holiday season, or channel stuffing? Our forecast for the coming years has been modified since the last report, and is less aggressive on both desktops and notebooks—tablets have changed the nature of the PC market. Our findings include Desktops, Notebooks (and Netbooks), and PC-based commercial (i.e., POS) and industrial/scientific and embedded; and do not include handhelds (i.e., mobile phones), x86 Servers or ARM-based Tablets (i.e. iPad and Android-based Tablets), Smartbooks, or Servers. The quarter in general - In Q2’11, Intel celebrated its sixth quarter of Embedded Processor Graphics CPU (EPG, a multi-chip design that combined a graphics processor and CPU in the same package) shipments, and enjoyed a 21% average growth in Desktops and Notebooks. - AMD and Nvidia lost in overall market share, while Intel grew compared to last quarter. - Year to year this quarter Intel had tremendous market share growth (14.7%), AMD had a loss of 14.2%, and Nvidia slipped 18.4% in the overall market partially due to the company withdrawing from the integrated segments. -The Q2’11 change in total shipments from last quarter increased 6.3%, significantly above the ten-year average of 3.5%, and raising concerns about an inventory buildup. - Netbooks contributed to notebook growth a bit,however, iPads and Android tablets have probably cannibalized some netbook sales. - Over 84 million PCs shipped worldwide in Q2’11, an increase of 2.4% compared to Q1’11, (based on an average of reports from Dataquest, IDC, and HSI) causing speculation that the 6.3% up-swing in graphics could be an inventory buildup and have a negative impact on Q3 or Q4. - AMD’s HPU quarter-to-quarter growth has been extraordinary at an average of 80% for desktop and notebook, and Intel’s EPG growth was significant at an average of 41%. This is a clear showing of the industry’s affirmation of the value of CPUs with embedded graphics and is in line with our forecasts. The major, and logical, impact is on older IGPs, and some on low-end add-in boards (AIBS). Graphics chips (GPUs) and chips with graphics (IGPs, HPUs, and EPGs) are a leading indicator for the PC market. At least one and often two GPUs are present in every PC shipped. It can take the form of a discrete chip, a GPU integrated in the chipset, or embedded in the CPU. The average has grown from 115% in 2001 to almost 160% GPUs per PC. Since the crash of 2009, combined with the introduction and influence of ARM-based Tablets, the PC market has deviated from historical trends. Until the segment for Tablets is clearly defined the fluctuations in the market data is likely to continue. The disruptions probably won’t settle down for a while as Tablets find their place in the market and agreement can be reached on to include them in the PC market analysis, or to not include them. Market shares shifted for the big three, and put pressure on the smaller three, and they showed a decrease in shipments (units are in millions.) © Jon Peddie Research Intel continues to be the overall market share leader in Q2’11, elevated by Core i5 EPG CPUs, Sandy Bridge, and Pineview Atom sales for Netbooks. AMD gained market share quarter-to quarter and Nvidia lost share. Nvidia is exiting the integrated graphics segments and shifting focus to discrete GPUs. The company showed significant discrete market share gain (30% qtr-qtr) due to they say strong connect with new Intel Sandybridge notebooks. Ironically Nvidia enjoyed some serendipitous sales of IGPs in Q2. AMD share dropped 7.3 points. ----- Source: Jon Peddie Research
Filtronic wins new UK defence contract UK designer and manufacturer of antennas, filters and mmWave products, Filtronic plc, has won a significant contract from a new major UK defence customer for the supply of battlefield radio communications hardware valued at over GBP 1 million.
A2 Global expands with new facility in Singapore Electronic component distribution and supply chain service provider, A2 Global Electronics, announces the opening of its new distribution facility located in the New Tech Park area of Singapore.
Sponsored content by Shenzen Kinwong ElectronicThe development trend of printed circuit board products and Kinwong's solution With the rapid development of electronic technology in recent years, printed circuit board (PCB) products are pursuing higher heat dissipation capabilities, with high voltage and high current characteristics, and are developing towards high-density interconnection technology (HDI).
Sensata acquires majority ownership of Lithium Balance Sensata, an industrial technology company that develops sensors and sensor-based solutions, has acquired 75% of Lithium Balance based in Denmark.
Analog Devices to shutter California facility In a WARN notice, the company says that due to changing business needs will require the company to permanently close its facility Milpitas, California.
Intelliconnect moves to larger factory as sales grow Intelliconnect (Europe) Ltd the UK based specialist manufacturer of RF, waterproof and cryogenic connectors and cable assemblies, announces that it has moved to a larger facility at the Corby Innovation Hub following sales growth of 30% in 2020.
Pat Gelsinger to replace Bob Swan as Intel CEO Intel has appointed 40-year technology industry veteran Pat Gelsinger as its new chief executive officer, effective February 15, 2021. He will succeed Bob Swan, who will remain CEO until Pat starts.
Qualcomm to acquire NUVIA Qualcomm says it has entered into a definitive agreement to acquire NUVIA for approximately USD 1.4 billion before working capital and other adjustments.
Advanced Energy acquires RF specialist Advanced Energy, a provider of precision power conversion, measurement, and control solutions, has completed the acquisition of Versatile Power, a Campbell, California-based provider of radio frequency (RF) and programmable power supplies for medical and industrial applications.
Achronix to list on Nasdaq via merger with ACE Convergence FPGA and embedded FPGA specialist, Achronix Semiconductor, has entered into a business combination agreement with special-purpose acquisition company ACE Convergence Acquisition Corp., which result in a combined entity which will continue as a publicly listed company.
iCoupler Technology Benefits Gallium Nitride (GaN) Transistors in AC/DC Designs Highly efficient ac/dc power supplies are key to the evolution of the telecom and datacom infrastructure, as power consumption grows rapidly due to hyperscale data centers, enterprise servers, or telecom switching stations. However, the power electronics industry has reached the theoretical limit of silicon MOSFETs.
Cisco drags Acacia to court after terminated acquisition Cisco Systems has requested a Delaware court to stop networking chip maker Acacia Communications, from backing out of the acquisition agreement the companies had entered back in 2019.
UTAC completes acquisition of Singapore wafer bumping assets UTAC Holdings Ltd. says that its affiliate has completed its purchase of the Singapore-based wafer bumping assets from Powertech Technology (Singapore) Pte. Ltd.
Onto Innovation acquires Inspectrology Onto Innovation has acquired Inspectrology, LLC. The company, which is headquartered in Sudbury, Massachusetts, USA, is a supplier of overlay metrology for controlling lithography and etch processes in the compound semiconductor market.
Cornell Dubilier acquires capacitor division from NWL Cornell Dubilier Electronics (CDE), has via its its subsidiary, CD Snow Hill, LLC, acquired the capacitor producing assets of NWL, Inc.
Recab expands via the acquisition of Synective_Labs Swedish embedded specialist, Recab, is investing in FPGA and ASIC design via the acquisition the high performance embedded design company Synective Labs
Etteplan enters Denmark and acquires TekPartner Etteplan is expanding the business in Nordics and opens up a new country, Denmark, by acquiring TekPartner, an engineering and IT company specialised in electronics and software.
UK competition authority to probe NVIDIA’s takeover of Arm The UK's Competition and Markets Authority (CMA) says it is launching a formal investigation into NVIDIA's takeover of Arm later this year.
NovaCentrix teams with Bentec to push PulseForge tool sales NovaCentrix, a provider of photonic curing tools, conductive inks, and material for development and production of printed electronic devices, has appointed David Bennett with Bentec LTD as manufacturers’ representative.
Nova to expand offices in Taiwan with new cleanroom The metrology solutions provider celebrated its 20th anniversary with the opening of its new, expanded offices in Taiwan as part of the its strategy to strengthen field operations and local training capabilities.
After 26 years at Qualcomm – Steve Mollenkopf retires as CEO Qualcomm’s current CEO, Steve Mollenkopf, who has been with the company for nearly three decades has announced his decision to retire from his position as CEO of the company.
What Is JESD204 and Why Should We Pay Attention to It? A new converter interface is steadily picking up steam and looks to become the protocol of choice for future converters. This new interface, JESD204, was originally rolled out several years ago but has undergone revisions that are making it a much more attractive and efficient converter interface.
Extended Maxim franchise sales agreement strengthens Future Electronics Electronic component distributor, Future Electronics, says it has agreed to an extension of its franchise sales agreement with Maxim Integrated Products.
Soitec looking to attract new talent – creating 100 new jobs Semiconductor materials specialist, Soitec, is continuing its growth path and launches a company-wide job creation program called ELEVATE.
Meyer Burger receives funding to build green solar cell production The company is looking to receive up to EUR 22.5 million in public funding to build environmentally friendly solar cell production in the city of Bitterfeld-Wolfen, Germany.Load more news