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U.S. to lose chip market share through 2009, says report

Posted: 18 Jul 2005 ?? ?Print Version ?Bookmark and Share

Keywords:semiconductor?

U.S.-headquartered companies are expected to lose worldwide semiconductor market share over the next four years, from holding 46 percent of the market in 2004 and 2005 to 42 percent in 2009, according to market research company IC Insights.

Japan-headquartered companies are expected to hold 19 percent in 2005, down from 20 percent in 2004 and forecasted to decline further to 16 percent, IC Insights (Scottsdale, Arizona). Meanwhile European-headquartered companies are expected to maintain a 10 percent market share through to 2009.

The analysis includes foundry sales, IC Insights said.

In 2004, Taiwan-headquartered companies held the third largest share of IC sales at 11 percent behind the U.S. and Japanese companies and ahead of Europe. IC Insights forecasted that the Taiwan-headquartered companies would also gain 11 percent market share in 2005 but move up to 13 percent in 2009. Close behind Taiwan is South Korea with 10 percent in 2004 and 2005 moving up to 12 percent in 2009. China and the rest of the world are each expected to achieve 2 percent market share in 2005, moving up to 4 percent and 3 percent, respectively in 2009. While IC consumption in China is forecast to be $84.4 billion in 2009, up from $31.0 billion in 2004, China's indigenous IC producers' chip sales in 2009 are forecast to be $10 billion, up from $2.3 billion in 2004.

Asia-Pacific companies' share of IC sales when excluding Japan was only 2 percent in 1982, according to IC Insights. The share grew to 9 percent in 1994 and more than doubled to 24 percent in 2004. With IC production by Asia-Pacific foundries expected to increase dramatically over the next few years, IC Insights forecast that the Asia-Pacific IC market share, including Taiwan, China, Korea and other regions, will reach 32 percent in 2009.

- Peter Clarke

EE Times





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