caLogo

FRAMINGHAM, MA – Worldwide semiconductor revenues will grow 9% year-over-year in 2011 to $303 billion, and will achieve a CAGR of 6% for the 2010 to 2015 forecast period, according to International Data Corp. Revenues will hit nearly $380 billion by 2015, the firm says.

This follows the strong recovery in 2010, which produced growth of 23% compared to 2009.

The computing segment represents about 40% of all semiconductor revenues and will show year-over-year (2011) and CAGR (2010-2015) growth rates of 7% and 6%, respectively, after registering revenues of $113 billion in 2010.

While smartphone sales drove semiconductor revenues for the communications segment to a record $80 billion in 2010, there is continued pricing pressure on cellular baseband and connectivity chipsets, especially in the low end of the market in China, says the firm. Long-term volume growth, however, remains robust, as demand for these chipsets extends beyond smartphones.

IDC also sees solid long-term telecom spending, given the continued growth of IP traffic, the growth of smart devices on the network, and the spending levels of service providers. IDC forecasts year-over-year (2011) and CAGR (2010-2015) growth rates of 9% and 5%, respectively, for the communications segment.

High growth in semiconductor revenues from media tablets, e-readers and LED/LCD TV sets is helping to balance flat or decreased revenue growth from traditional consumer devices, such as DVD players and game consoles, from 2011 to 2015. As a result, the consumer segment will see year-over-year (2011) and CAGR (2010-2015) growth rates of 10% and 5%, respectively, says IDC.

The automotive and industrial segments are expected to be long-term growth drivers for semiconductor revenues. Together, these segments are forecasted to log 13% and 10% growth rates, respectively, for year-over-year (2011) and CAGR (2010-2015), with growth driven by increased automobile sales worldwide and increased semiconductor consumption in applications such as infotainment, safety and diagnostic systems, engine control, energy/battery management, M2M, smart grid, LED lighting and factory automation.

Among semiconductor devices, revenues for microprocessors, microcontrollers, ASSPs and analog devices are expected to show a CAGR of 8% to 9% between 2010 and 2015, but both Flash and DRAM revenues, which were impressive in 2010 ($63 billion), will decline with a combined CAGR of 0% to 1% for the period.
Regionally, as expected, Asia/Pacific continues to grow its share of semiconductor revenues, reaching more than 43% in 2015, according to the firm.

“Near term, the semiconductor market should hit bottom by the second quarter of next year and begin a growth cycle that will take us into the second half of 2012,” said Mario Morales, vice president, semiconductor research at IDC.

Submit to FacebookSubmit to Google PlusSubmit to TwitterSubmit to LinkedInPrint Article
Don't have an account yet? Register Now!

Sign in to your account