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IHS iSuppli raises semiconductor forecast

22 June 2011 | By Mark Osborne | News > Fab Management

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On cue, IHS iSuppli has gone in the opposite direction to Gartner and raised its forecast for semiconductor sales in 2011. IHS iSuppli expects global semiconductor revenue to reach US$325.9 billion, up from US$304.1 billion in 2010. This equates to growth of 7.2% compared to last year, which is being driven by consumer product purchases such as tablets and smart phones, according to the market research firm.

“Thanks to the hardiness of the global electronics supply chain, the semiconductor industry is set for a year of solid growth in 2011,” said Dale Ford, senior vice president for semiconductor market intelligence at IHS. “Neither the Japan quake disaster nor weak economic conditions will derail the market’s expansion. In fact, demand has been so strong for semiconductors in hot consumer items such as tablets and smart phones that IHS has raised its forecast slightly to accommodate the improved outlook.”  

However, the market research firm expects growth will moderate during the following two years, rising by 4.8% and 4.0%, before accelerating to 8.0% and 7.5% expansions during the next two years.

By 2015, semiconductor revenue will reach a milestone when it tops the US$400 billion mark and hits US$411.8 billion, equating to a compound annual growth rate of 6.3% between 2010 and 2015.

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