News
SAN JOSE, Dec. 31 -- November worldwide sales of semiconductors grew to $19.02 billion, up 1.3% from October. Sales were up 18% over last year, the Semiconductor Industry Association reported today.
November saw "strong growth in sales of microprocessors, digital signal processors, DRAMs, and flash memory devices," said SIA President George Scalise. "Sales of personal computers typically peak in the fourth quarter. Strength in microprocessors and DRAMs indicate PC sales reflect normal seasonal patterns. The wireless handset market has been somewhat stronger than recent forecasts, as evidenced by growth in DSP and flash memory products.
Capacity utilization declined modestly, but remains above 90%, SIA said.
"Actions taken by both customers and semiconductor manufacturers to address excess inventories in some market sectors appear to have been effective. We expect that excess inventories will not be a significant concern by the end of the first quarter of 2005," Scalise said.
Sales were up in all geographic regions except the Americas, where sales declined 1.6% from October.
SCOTTSDALE, AZ, Jan. 3 - The cellular modem market had a breakout year in 2004, and prospects for the next five years are even brighter, according to In-Stat/MDR.
The market grew 167% last year, based on data from the first three quarters of 2004 and estimates of the final quarter of the year. By 2009, more than 14 million wireless modems will be shipped worldwide, up from slightly more than 2.5 million in 2004, the research firm said.
In-Stat credits high-speed wireless 3G networks, particularly UMTS networks in western Europe, and growing corporate demand for wireless data services in North America and Europe. Says analyst Ken Hyers, "As the rollout of high-speed wireless networks continues in both highly developed markets and in developing markets, the opportunities for cellular modem manufacturers to expand their sales will continue."
TEMPE, AZ, Jan. 3 - Manufacturing growth accelerated in December, driven by a significant increase in the new orders. Production ticked down - its third straight decline - but backlogs firmed, said the Institute for Supply Management.
Manufacturing grew for the 19th consecutive month, ISM said, based on its monthly poll of the supply chain.
"This completes a strong year for manufacturing based on the ISM data, as the overall index averaged above 60% for 2004," ISM chairman Norbert Ore said. "While there is continuing upward pressure on prices, the rate of increase is slowing and definitely trending in the right direction."
The PMI measure of economic activity rose to 58.6%. New orders rose 5.9 points and production fell 0.1 point.
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