Long-Term Semiconductor Growth Rates Forecast to Improve.
August 09, 2012-- Following a lackluster period of average annual market growth in the semiconductor industry, a significant upturn is in store for the next five years, according to data released in IC Insights’ Mid-Year Update to the 2012 McClean Report. Figure 1 compares the cumulative average growth rates (CAGRs) for the total semiconductor market and for several key product segments.
For the NAND flash memory market, in particular, average annual growth from 2011-2016 is forecast to remain strong. NAND flash is forecast to have the highest average annual growth rate among the major product segments, increasing 16.6% annually, slightly ahead of its 16.0% average annual growth rate from 2006-2011. The DRAM market is forecast to show a healthy turnaround by growing 9.6% annually through 2016, reversing a five-year span in which average growth declined. Increasing sales in these two market segments will help to more than double the growth rate of the total semiconductor and total IC markets through 2016 as compared to the 2006-2011 time period.
Figure 1
Other key markets like microprocessors (MPUs) and the analog market are forecast to enjoy a modest increase in average annual market growth through 2016. Meanwhile, total market growth for optoelectronics, sensors, and discrete (O-S-D) devices is forecast to out-perform the IC market by averaging 10.6% annual growth compared to 7.4% for ICs.
IC Insights’ Mid-Year Update shows that tablet computers, smartphones, and the wide array of other portable wireless devices will keep semiconductor units growing at a steady pace through 2016, but strengthening average selling prices will be the main driver behind improving market conditions. With many semiconductor companies closing their doors and others that are merging or being acquired (e.g., Micron’s pending acquisition of Elpida), fewer players have the capital resources required to build new 300mm wafer fabs. Consequently, the chance of an overcapacity situation throughout the industry (and the associated steep price declines it often creates) will be reduced. The outcome is expected to be steadily upward-trending average selling prices through 2016, compared to the 3% annual decline that ASPs averaged between 2006 and 2011.
Report Details:
Additional forecast details through 2016 for DRAM, flash memory, and all the major IC markets are available in IC Insights’ 200+ page Mid-Year Update to The 2012 McClean Report—one of several monthly updates issued from March through November each year as part of an annual subscription to The McClean Report. An individual-user subscription to the 2012 edition of The McClean Report is priced at $3,290 and includes an Internet access password. A multi-user worldwide corporate license is available for $6,290.
More Information Contact:
For more information regarding this Research Bulletin, contact Brian Matas, Vice President, Market Research, IC Insights, phone: 1-480-348-1133, email: bmatas@icinsights.com
|
Related News
- Long-Term Internet of Things Semiconductor Forecast Reduced
- Top 20 Semiconductor Suppliers' Sales Growth Rates Forecast to Range from Great (+31%) to Terrible (-17%) in 2012.
- Global Semiconductor Sales Increase 15.8% Year-to-Year in April; New Industry Forecast Projects Market Growth of 16.0% in 2024
- GlobalFoundries and GM Announce Long-Term Direct Supply Agreement for U.S. Production of Semiconductor Chips
- Gartner Forecasts Worldwide Semiconductor Revenue Growth to Decline 3.6% in 2023
Breaking News
- Frontgrade Gaisler Unveils GR716B, a New Standard in Space-Grade Microcontrollers
- Blueshift Memory launches BlueFive processor, accelerating computation by up to 50 times and saving up to 65% energy
- Eliyan Ports Industry's Highest Performing PHY to Samsung Foundry SF4X Process Node, Achieving up to 40 Gbps Bandwidth at Unprecedented Power Levels with UCIe-Compliant Chiplet Interconnect Technology
- CXL Fabless Startup Panmnesia Secures Over $60M in Series A Funding, Aiming to Lead the CXL Switch Silicon Chip and CXL IP
- Cadence Unveils Arm-Based System Chiplet
Most Popular
- Cadence Unveils Arm-Based System Chiplet
- CXL Fabless Startup Panmnesia Secures Over $60M in Series A Funding, Aiming to Lead the CXL Switch Silicon Chip and CXL IP
- Esperanto Technologies and NEC Cooperate on Initiative to Advance Next Generation RISC-V Chips and Software Solutions for HPC
- Eliyan Ports Industry's Highest Performing PHY to Samsung Foundry SF4X Process Node, Achieving up to 40 Gbps Bandwidth at Unprecedented Power Levels with UCIe-Compliant Chiplet Interconnect Technology
- Arteris Selected by GigaDevice for Development in Next-Generation Automotive SoC With Enhanced FuSa Standards
E-mail This Article | Printer-Friendly Page |