Structured ASIC market to grow 55%, says Semico

Revenue for the structured ASIC market will grow from $164.1 million in 2003, to $1.442.5 billion in 2008, a compound annual growth rate of 54.4 percent, according to Semico.

"In recent years the ASIC industry has had to deal with an onslaught of enemies far more vicious than one wicked stepmother," according to the research firm. "The unfortunate fact is market windows have shrunk, design cycle times have lengthened, design costs are rising dramatically and product life cycles are shrinking."

Semico believes structured ASICs will continue to gain momentum and will expand into the future. "This prince product has breathed new life into an ailing ASIC market by allowing a large group of former users of ASIC products to return," according to the report. "It is Semico's belief that a major source of structured ASIC revenue will come from the previous ASIC users that were contemplating the use of standard products for their next design."