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IC Insights: semiconductor unit sales up but revenue to fall $6 billion in 2008

30 September 2008 | By Mark Osborne | News > Fab Management

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IC Insights has revised downwards its worldwide semiconductor market forecast for 2008.Market research firm, IC Insights has revised downwards its worldwide semiconductor market forecast for 2008. Price erosion, specifically in NAND flash and logic devices was cited for a revenue reduction of $5.2 billion compared to its previous forecast in the middle of the year. In its mid-year report, IC Insights projected semiconductor sales to reach $670.68 billion. The revised forecast puts sales at $$660.73 billion for 2008, a $6 billion decline.

However, IC Insights noted that IC unit volumes could increase by as much as 10 percent  in 2008, which would make 2008 a record seventh year in a row of double-digit unit volume growth.

The market research firm remains optimistic for the next few years, projecting an IC market growth rate of 8 percent in 2009, 11 percent in 2010 and 13 percent growth in 2011.

The significant capital spending cuts seen in 2008 will also benefit the industry in 2009 as this will help stabilize IC average selling prices (ASPs).

IC unit volumes could increase by as much as 10 percent  in 2008

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Reader comments

Mark, Interesting piece. Do you have history going back to the 70's?
By J. Macias on 13 October 2008

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