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Electronics Production | April 04, 2011

Semi revenue declines in Q4/2010

After 6 consecutive quarters of sequential growth for the world’s semiconductor suppliers, the fourth quarter of 2010 saw revenue contract by 3.7% over the previous period—the first quarterly retreat since the beginning of 2009—according to IHS iSuppli.
Revenues for the 298 semiconductor suppliers tracked by the IHS iSuppli Competitive Landscaping Tool (CLT) fell to USD 77.2 billion in the fourth quarter of 2010, down from USD 80.1 billion in the earlier quarter. Just the same, the depressed revenue still was 11.9% higher than the USD 69.0 billion posted than the fourth quarter of 2009.

“The last time a sequential decline happened in the semiconductor industry was during the recent global economic downturn,” said Dale Ford of IHS. “Following steep declines of 21.4% in the fourth quarter of 2008 and 18.0% in the first quarter of 2009, semiconductor revenues began to increase in the second quarter of 2009 and then rose every quarter until the fourth quarter of 2010.”

New record is reached

Despite the fourth-quarter contraction, semiconductor revenues surged by USD 74.5 billion in 2010, setting a new record and surpassing the prior record increase of USD 59.2 billion during the dot-com bubble of 2000. The record for highest annual percentage growth in the industry remains the 36.7% increase seen in the year 2000.

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