Global Sources
EE Times-Asia
Stay in touch with EE Times Asia
EE Times-Asia > Manufacturing/Packaging

SIA: Global IC sales up 2% in 1H 2007

Posted: 07 Aug 2007 ?? ?Print Version ?Bookmark and Share

Keywords:global chip sales? IC market? semiconductor sales?

Worldwide sales of semiconductors rose to $121 billion in 1H 2007, an increase of 2 percent from the $118.4 billion in 1H 2006, according to the Semiconductor Industry Association (SIA).

Q2 sales of $59.9 billion declined by 2 percent from the $61.1 billion reported in Q1 2007. Sales in June 2007 were $20 billion, a decline of 1.7 percent from the $20.3 billion reported in May.

"The major story for the chip industry for the first half of 2007 continues to be rapid price attrition," said George Scalise, SIA president. "DRAM prices declined nearly 40 percent while unit shipments grew by almost 66 percent year on year," Scalise added.

He said the pattern was similar, if somewhat less dramatic, in the NAND flash segment, especially early in the year. "NAND unit shipments grew by almost 40 percent compared to June of 2006 but ASPs declined by just over 15 percent. Recently NAND prices have been stabilizing, and the price decline in June was the smallest we have seen this year."

Continuing rapid price attrition in several important market segments held growth in total semiconductor sales to just over 2 percent in the first half of 2007 despite increases in total unit shipments of almost 7 percent, according to Scalise. "End unit demand in major industry drivers, including personal computers and cell phones is growing in line with forecasts. Together, these two market sectors drive about 60 percent of semiconductor demand," he added.

Sales of personal computers were strong in the second quarter, with unit growth now projected at more than 10 percent for 2007, according to the SIA.

And unit shipments of cellphones are also on track for 10 percent growth, said Scalise.

He added unit sales of DSP chips grew by 3 percent in 1H, an indication that there may have been excess inventory in the supply chain at the start of the year. SIA reported that sales of microprocessors declined by 3 percent sequentially but were up by more than 7 percent from June 2006. Unit shipments of microprocessors were up by 19 percent for 1H 2007 compared to 1H 2006 while the rate of year-on-year price attrition in this segment has now fallen below 10 percent for the first time this year.

- John Walko
EE Times Europe

Article Comments - SIA: Global IC sales up 2% in 1H 200...
*? You can enter [0] more charecters.
*Verify code:


Visit Asia Webinars to learn about the latest in technology and get practical design tips.

Back to Top