© wrangler dreamstime.com Components | June 05, 2020
Six chip companies expecting an increase in 2Q sales
Because of uncertainty regarding the impact of Covid-19 on business in the second half of this year, many semiconductor companies have not provided full year 2020 guidance.
However, several provided an outlook for 2Q20 (Figure 1). Of those that issued quarterly guidance, most expanded the range of their projections to be wider than normal due to uncertainty surrounding the impact of the coronavirus pandemic. The numbers shown in Figure 1 represent the mid-point of the guidance. Collectively, the 21 companies on the list anticipate a sequential sales decline of 5% in the second quarter of 2020. Despite tentative economic conditions, six companies expect to see their sales rise in 2Q, and 15 anticipate a sales decline. Companies projecting an increase in their 2Q sales include MediaTek, AMD, Western Digital/SanDisk, UMC, Analog Devices, and SMIC. MediaTek’s 2Q sales outlook of 6% ranks highest among the 21 listed companies. The company credits its positive second-quarter revenue guidance to expanding sales of its 5G-chipset sales for smartphones. Evidence of strong demand for NAND flash from datacenter and SSD applications is reflected in the 4% sales growth guidance from Western Digital/SanDisk, whose flash sales are heavily weighted toward these two end-use markets. At the opposite end of the spectrum, double-digit sales declines are anticipated by each of Europe’s three largest semiconductor suppliers, as well as TI and Skyworks. IC Insights forecasts that the total IC market will decline by 6% in 2Q20 compared to 1Q20.
More information is available at © IC Insights' website.
More information is available at © IC Insights' website.
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