SAN FRANCISCO -- Intel Corp. chief executive Paul Otellini offered a few words of encouragement to a battered market, saying the world's largest chipmaker is seeing
"a pattern of purchases emerge again that's more predictable."
MUNICH — Demand for semiconductors used in vehicles and related gear will drop 25% from its peak of $20 billion last year, a new research report asserts.
It will take until 2013 for market revenues to rebound past $20 billion, research firm Databeans adds. The market will grow at a CAGR of 8.5% through 2014, reaching $22.5 billion, the firm forecasts.
A drop in demand for autos will be partially offset by higher electronics content in each new vehicle. The average value of electronics content will rise to 14.8% by 2012, up from 13% today, boosted by telematics, infotainment and safety applications, and environmental
regulation compliance.