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Semiconductor sales fall 11.9% sequentially
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IC sales in January were down 11.9% compared to December, 2008, according to the latest report from the Semiconductor Industry Association (SIA). Worldwide sales were $15.3 billion in January, a decline of 28.6 percent compared to January 2008 sales of $21.5. The decline was attributed to the fall in demand from key markets such as PC, mobile phone and automotive. January is typically a slow month for IC sales.
“Worldwide semiconductor sales in January, historically a relatively weak month for the industry, reflected a continuing erosion of consumer confidence and the effects of the global economic recession,” said SIA President George Scalise. “Sales declined across the entire range of semiconductor products, as sales of important demand drivers such as personal computers, cell phones, automobiles and consumer items remained under pressure.
On a regional basis, IC sales are down the most in Asia Pacific and Japan at -13.7% and 13.5%, respectively. North America was down the least, with a decline of only 5.3%.
The SIA believes that IC inventories are ‘very low’ and that ‘forward visibility is improving.’ Many of the major IC manufacturers have not yet guided sales for 2009, due to the economic recession and lack of visibility in the supply chain.
