SAN JOSE – The Semiconductor Industry Association today forecast worldwide semiconductor sales would drop 21.3% for the year to $195.6 billion.

In its annual mid-year forecast, the trade group projects that sales will begin to rebound in 2010, with year-on-year growth of 6.5% to $208.3 billion, followed by 6.5% growth in 2011 to $221.9 billion.

 

The numbers pale against SIA's last semiannual forecast. In November, the group projected 2009 sales would decline 5.6% to $246.7 billion, then grow 7.4% in 2010 and 7.5% in 2011.

 

However, the SIA is referring to the predicted 2010 recovery in annualized terms. Month-by-month, the rebound may have already begun. Earlier in the week, the trade group said worldwide sales of semiconductors rose a better-than-expected 6.4% sequentially in April, driven by moderate improvements in a number of end-demand drivers and inventory replenishment. March was up over February as well.

 

In 2008, the industry totaled sales of $261.2 billion, up 2.2% from 2007.