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FPGA/PLD market to grow 14% in '06, says Gartner

Posted: 30 May 2006 ?? ?Print Version ?Bookmark and Share

Keywords:FPGA? programmable logic device? PLD? Gartner? Dylan McGrath?

The market for FPGAs and other programmable logic devices (PLD) is expected to grow from $3.2 billion in 2005 to $6.7 billion in 2010, according to Bryan Lewis, a vice president and chief analyst of ASIC, SoC and FPGA research at market analyst firm Gartner Dataquest.

Lewis forecasts that the FPGA/PLD will grow 14 percent this year to reach $3.7 billion and another 18 percent to reach $4.3 billion in 2007.

"The FPGA market is well positioned to out grow the semiconductor market in 2006 and beyond," Lewis said.

Gartner reportedly bumped its 2006 forecast for overall semiconductor growth to 10.6 percent from 9.5 percent earlier this month, citing stronger-than-expected demand for PCs.

The FPGA/PLD market is dominated by the top two players, Xilinx Inc. and Altera Corp., which between them accounted for more than 84 percent of the market in 2005, according to Gartner.

"Low-cost FPGAs such as Spartan from Xilinx and Cyclone from Altera will be key drivers as these products open up new markets for FPGAs, including consumer and automotive," Lewis said. "FPGAs are not only going after the ASIC market but they are moving into traditional DSP and micro controller markets as well."

Gartner's numbers contrast dramatically with those of In-Stat, a competitor that earlier this week published a forecast calling for the FPGA market to grow from $1.9 billion in 2005 to $2.75 billion in 2010. In-Stat's forecast covers only FPGAs, while the Garter forecast includes other types of programmable logic devices such as PLDs, CPLDs programmable logic arrays and newer devices. But FPGAs make up the majority of the market.

A number of industry insiders told EE Times recently that the In-Stat numbers seemed low. Reached for comment, Jerry Worchel, the In-Stat senior analyst who created the forecast, said he stands by the numbers.

- Dylan McGrath
EE Times

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