© carabiner dreamstime.com Components | December 06, 2013
Semiconductor sales recover in 2013
Following a 2.5 percent decline in 2012, the global semiconductor market has regained its footing in 2013 with revenue set to expand by nearly 5 percent because of the strong performance of the memory sector.
Global semiconductor sales in 2013 will amount to $317.9 billion, up 4.9 percent from $302.9 billion in 2012, according to preliminary estimates from the Semiconductor Value Chain Service at IHS. Market growth is being driven by the strong expansion of the dynamic random access memory (DRAM) and NAND flash memory markets, which are expected to rise by 35.0 percent and 27.7 percent, respectively, in 2013. Partly because of its success in the booming DRAM and NAND markets, U.S.-based Micron Technology Inc. will grow by an industry-leading 109.2 percent in 2013, catapulting the company up the semiconductor market’s ranks to No. 4 in 2013, rising from No. 10 in 2012. “Memory chips are coming to the rescue of the semiconductor business in 2013,” said Dale Ford, head of electronics and semiconductor research at IHS. “Solid pricing and expanding demand for DRAM and NAND in smartphones and tablets have caused revenue for these memory devices to surge. Without these two high-performing product segments, the semiconductor industry would attain zero growth this year.” Wireless winning streak Of the major application markets for semiconductors, the hot wireless segment will drive the largest increase in semiconductor consumption of chips in 2013. Semiconductor revenue from wireless communications products are projected to grow by 11.7 percent in 2013. The next fastest-expanding application will be industrial electronics, with double-digit semiconductor sales growth of 10.7 percent. Semiconductor revenues driven by consumer electronics products will decline, with a drop of 5.2 percent. Asia-Pacific will lead all regions in terms of consumption of semiconductors with growth of 8.9 percent in 2013. The Americas will not be far behind with a 5.0 percent increase. Japan will experience a decline of 7.9 percent. Overall, 53 percent of the more than150 companies tracked by IHS are expected to expand their semiconductor revenue in 2013, while 47 percent will decline. Semiconductor winners and losers Beyond the DRAM and NAND segments, other products that will yield healthy growth in 2013 are expected to be light-emitting diodes (LEDs) with 9.5 percent, complementary metal-oxide semiconductor (CMOS) image sensors at 5.7 percent, standard logic up by 4.2 percent, sensors and actuators by 3.6 percent and analog application-specific integrated circuits with 3.5 percent. Markets experiencing significant declines will be charge-coupled device (CCD) image sensors, which are expected to plunge by 40.6 percent; specialty memory, with a 19.6 percent drop; digital signal processors, down by 16.5 percent; SRAM declining by 15.9 percent; NOR flash memory falling by 14.8 percent and logic ASICs, with an 11.6 percent decrease.
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