SIA: Semi Sales Will be Flat in '05

Published: 04 November 2004
 by Mike Buetow
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SAN JOSE, Nov. 3 - Record semiconductor sales of $214 billion in 2004 will be followed by flatness next year, the Semiconductor Industry Association said today. In its annual forecast for 2004-2007, SIA projects sales will grow 6.3% in 2006 and 14.2% in 2007, reaching $259 billion. The trade group projects "less favorable" demand for memory products will dampen expansion next year.

SIA expects that 2004 year-on-year growth rate will be 28.5%. More than 50% of the semiconductors sold in 2004 will go into products purchased by consumers, a ratio that will grow as consumers embrace portable digital media, SIA said.

Lower demand for memory devices and passives in 2005 will offset modest improvements in microprocessors, logic and DSPs.


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