May marks third-consecutive month of sequential sales growth, SIA reports

May's sequential growth was exceptionally evidenced by Japan's sales, which climbed 7.2% month over month.

By Suzanne Deffree, Managing Editor, News -- Electronic News, 7/6/2009

While the semiconductor industry is far from out of the woods, May followed April and March to become the third-consecutive month of sequential growth with a 5.4% sales increase month over month, according to data from the SIA (Semiconductor Industry Association).

Month	Sales	Sequential growth
May	$16.5B	5.4%
April	$15.6B	6.4%
March	$14.7B	3.3%

Worldwide sales of semiconductors rose to $16.5 billion in May as compared to April when sales were $15.6 billion.

May's sequential growth was exceptionally evidenced by Japan's sales, which climbed 7.2% month over month. Asia-Pacific recorded 6.7% growth for the month, while the United States showed 3.9% growth and Europe reported 0.4% growth, according to SIA data.

Still, May sales were 23.2% lower than May 2008 when sales were $21.5 billion.

“The sequential monthly increases lead us to be cautiously optimistic about a return to normal seasonal patterns for the industry going forward,” SIA President George Scalise said in a statement. “As consumer confidence returns and the economy resumes growth, we expect the industry to reflect those patterns."

In its mid-year forecast update issued last month, SIA projected worldwide sales of $195.6 billion for 2009, reflecting a 21.3% decline for the full year. SIA estimated at the time that sales will begin to rebound in 2010, with year-on-year growth of 6.5% to $208.3 billion, and that that growth will be followed by a 6.5% increase in 2011, moving sales to $221.9 billion.