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EL SEGUNDO, CA – Foxconn Electronics Inc. and Asustek Computer Inc. accounted for $18.5 billion—or 57%—of annual worldwide revenue among the Top-20 contract manufacturers in 2006, according to iSuppli Corp.

Concentration of revenue among the Top-10 EMS providers and ODMs accelerated at a faster-than-expected rate in 2006, says the firm. The Top-10 EMS providers alone controlled 70.4%, or $111 billion, of the $157 billion market in 2006. The Top-10 ODM providers controlled 72.8%, or $72.8 billion, of the $100 billion market.

STAMFORD, CT – Worldwide PC shipments increased by 8.9%, totaling 62.7 million units in the first quarter of 2007, according to Gartner.

The U.S., Europe, Middle East and Africa, and Latin America performed better than the previous forecast, while Asia/Pacific and Japan shipments were lower than expected. Asia/Pacific surpassed the U.S. For the first time, PCs will take second place in shipments.

In the first quarter, HP's worldwide PC shipment growth outpaced the industry average, increasing 28.7%. Meanwhile, Dell experienced below-average growth across many regions. Acer moved into the third position for worldwide PC shipments, exceeding the industry average across all regions. Lenovo dropped to fourth, but achieved its highest year-over-year growth rate since acquiring IBM's PC division.

In the U.S., PC shipments grew 2.9% for the quarter year-over-year. These results were higher than Gartner's forecast of 0.6% growth. Dell maintained the lead in U.S. shipments; however, HP narrowed the gap for the top spot in the U.S. market.

PC shipments in Europe, the Middle East and Africa totaled 21.6 million units, a 13.7% increase from the same period last year. In Asia/Pacific, PC shipments reached 15.7 million units, a 10.3% increase year-over-year. The PC market in the first quarter in China grew 15.2%, with desk-based PC growth of 10.1% and mobile PC growth of 38.3%. PC shipments in Latin America totaled 5.1 million, a 21% increase year-over-year; mobile PC shipments increased 86%. Japan surpassed 4 million units in the first quarter, a 6.8% decline from the same period last year.

STAMFORD, CT – Gartner Inc. lowered its capital equipment spending forecasts for 2007 and 2008. Overall capital spending is projected to hit $55.2 billion in 2007, down 1.5% year-over-year. In 2008, capital spending is projected to grow 10.7% to $61.1 billion, said the research firm.

Worldwide semiconductor capital equipment spending is forecast to total $40.6 billion in 2007, a 3.2% decline from 2006. The market is expected to rebound in 2008, with spending expected to reach $46.7 billion, a 14.9% increase, said Gartner. This is below its previous forecast at the end of 2006.

After growing more than 18% in 2006, packaging and assembly equipment market revenue is projected to decline 12.2% in 2007, but will grow 20.2% in 2008. ATE sales will slow in 2007, with an expected decline of 11.2% for the year, the firm said.