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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.

BEIJING, Dec. 23 -- Connector production in China is soaring as local manufacturers will produce $2.1 billion worth -- 50 million -- of connectors this year, according to news reports.

Global Sources said this week that the connector market in China will rise to $3 billion next year, or about 60 million parts. There are 600 connector manufacturers in the country, the report said.

China makes up one-third of connector production worldwide.

ELK GROVE VILLAGE, IL, Dec. 22 -- SigmaTron International Inc. has received a key certification for building medical devices, the EMS firm said today.

The company's Fremont facility has been certified to 13485 quality standards for medical device quality systems. The standards are said to supplement ISO 9001 and 9002 standards.

The certification was conducted by Orion Registrar Inc., a quality and environmental systems registrar.

SAN JOSE, Dec. 27 -- Manufacturing will surge in China in the next three years, provided the nation isn't overcome by social and political issues, says a new report. Semiconductors, product assembly and design services will all share in the gains, says iSuppli (www.isuppli.com).

China's share of the global semiconductor market will grow 50% by 2008, rising to 22% from its current 14%, the firm says. Sales of manufactured products will also grow 50%, to $301 billion in 2008, various news reports quoted Byron Wu, China chief manager and senior analyst.

EMS revenues will more than double, going from $18 billion last year to $45 billion in 2008, good for a 28% global share, the report said. ODM revenues, another burgeoning segment, will grow to $108 billion, from $40 billion last year. By 2008 China will have 75% of the global ODM market, iSuppli said.

FRAMINGHAM, MA, Dec. 27 -- Digitization of media, expansion of broadband options, proliferation of new converged devices, and collision and consolidation of market leaders will define the top consumer trends in 2005, says a new report.

Accrding to market researchers IDC, 2005 will be a huge year for handheld game consoles and other portable gaming devices. The firm lists Sony's new PSP handheld gaming device and Nintendo's DS as standouts.

The firm also forecasts continued broadband adoption and VoIP.

HDD-based, portable MP3 players will see strong growth. Portable media players, however, will disappoint.

Digital camera shipments will exceed 80 million units, pushing conventional film cameras out. Winners will be Canon and Olympus, at the expense of most consumer electronics vendors -- Samsung, Panasonic and Casio -- and IT vendors -- HP, Gateway, Epson, Creative Labs and Logitech. (Sony, as a digital camera leader, is the consumer electronics exception, IDC says.)

IP video is a hot topic, but rollouts will be minimal in 2005. IP video efforts and offerings are expected to remain largely on the fringes in many regions, says IDC.

BOSTON, Dec. 28 -- DEK has shipped company record 75,000 stencils this year, the company said today.

"Over the last 4 years, DEK has made significant investments in our logistics infrastructure, manufacturing capabilities and product R&D," says Michael Brianda, European general manager for DEK process support products. "It is very gratifying to see the fruits of our efforts - the 75,000th stencil shipment of 2004."

DEK manufactures a range of stencils and screens for electronics assembly.

CHINO, CA, Dec. 22 -- Desco Industries will acquire the assets of Static Prevention Inc., a supplier of ESD products. Financial terms were not disclosed.

Under the terms of the agreement, Desco will acquire patents, designs, inventory, tools and equipment and company brand names. Anaheim, CA- based SPI does business under the name SPI Westek.

In a press statement Wayne Hunter, president of Desco, commented that the acquisition of SPI would enhance Desco's range of ESD solutions.

Tom Seratti, president of SPI Westek, will join Desco.

ROSSLYN, VA, Dec. 22 -- The National Electrical Manufacturers Assn. will sponsor a trade mission to India in February as its members seek to crack the world's second largest population and fastest growing economy.

The mission is aimed at business executives seeking to develop familiarity with the Indian electroindustry supply base and market, acquire firsthand knowledge of emerging business practices and establish contact with key business and government officials.

NEMA is arranging meetings with the U.S. Commerce Department officials, the Indian Ministry of Commerce and Industry and other local officials. The trade group will also attend various engineering conferences and manufacturing sites.

Commitments are due Jan. 10; www.nema.org/media/pr/upload/india-commitment.pdf.

VISTA, CA, Dec. 21 - Fabrinet, a electromechanical manufacturing services company, will add an array of optoelectronic and packaging assembly equipment to beef up its volume assembly of optoelectronic components.

Fabrinet will add equipment for laser diode attachment and thermosonic ball and stitch wire bonding from Palomar Technologies, the companies said today.

The equipment will be installed in Fabrinet's manufacturing facilities in Bangkok.

"Fabrinet is one of a very few EMS companies capable of the precision manufacture in high volume of complex components such as those in the optics, optomechanical, and optoelectronic industries," said Bruce W. Hueners, Palomar vice president of marketing and business development, in a statement.

BANGALORE, Dec. 20 - Cookson Electronics Assembly Materials has opened a research center in India, making its the first electronics assembly materials company to do so, the company said today.

The opening of the center on the campus of the Indian Institute of Science in Bangalore brings to four the number of R&D labs Cookson operates worldwide located. The others are in the U.S., the U.K. and Japan.

"Cookson Electronics remain[s] steadfastly committed to serving our customers in the fast growing Asia/Pacific region where we have experienced double-digit growth over the past five years with no slowdown in sight," said David Zerfoss, president of Cookson Electronics Assembly Materials, in a statement.

The new center, a collaboration with the Indian Institute of Science, employs eight doctorates among its staff.