SIA estimates rebound will begin in 2010
The Semiconductor Industry Association releases its mid-year forecast and says that while sales growth is expected in 2010, as well as 2011, the semiconductor industry will first have to wade through a 21.3% decline in 2009.
By Suzanne Deffree, Managing Editor, News -- EDN, June 5, 2009
Sales growth is coming, just not this year.
The SIA (Semiconductor Industry Association) today released its annual mid-year forecast projecting worldwide sales of $195.6 billion for 2009.
The sales estimate represents a decline of 21.3% from sales of $248.6 billion in 2008 and are in line with a separate estimate from Gartner that calls for a 22.4% year-over-year sales decline in 2009.
Gartner's estimate, made last week, revised the market research company's February estimate, which called for a 24.1% decline. While the change is less than a 2% improvement, it is significant as it moves industry projections away from Gartner's worst-case scenarios, which estimated up to a 33% decline for 2009 sales.
SIA projected this morning that sales will begin to rebound in 2010, with year-on-year growth of 6.5% to $208.3 billion. That growth will be followed by a 6.5% increase in 2011, moving sales to $221.9 billion, SIA estimated.
The SIA earlier this week reported a 6.4% sequential increase in sales for the month of April. April sales were $15.6 billion, according to SIA, which also reported that the PC and cell phone markets have been stronger than predicted. The PCs and cell phones account for nearly 60% of all semiconductor consumption.
