Semiconductors up 3.3% in 2007

Global semiconductor market revenue grew by only 3.3% in 2007. iSuppli predicted the global chip market would grow by 4.1% in 2007. Worldwide DRAM revenue fell by 19.1% in the Q4 2007 compared to Q3 2007. NAND flash revenue declined by 3.9% in Q4 2007.

$255.6 bln worth of semiconductors sold in 2007

The Semiconductor Industry Association reported that global sales of semiconductors grew for the sixth-consecutive year, reaching a record $255.6 bln in 2007, an increase of 3.2% from the $247.7 bln reported in 2006. Worldwide sales in December 2007 were $22.3 bln, an increase of 2.5% compared to the $21.7 bln reported in December 2006. December 2007 sales declined by 3.6% from the immediate-prior month when sales were $23.1 bln. The modest sequential decline in December reflected normal seasonal patterns. Worldwide sales in Q4 2007 were $66.8 bln, an increase of 2.5% over Q4 2006 sales of $65.2 bln. Shipments of personal computers, which account for approximately 40% all semiconductor consumption, grew by 13.8% and will grow by 12.2% in 2008. Mobile PC unit sales grew 32.2% while desktop unit sales grew by 4.1%. Cell phone unit shipments grew by 20% to nearly 1.2 bln units in 2007. Current forecasts project 10 to 15% growth in unit shipments in 2008.

Semiconductor revenues to grow 2.4% in 2008

In-Stat expects worldwide semiconductor revenue to grow by 2.4% in 2008 to $261.9 bln. The consumer segment will lead 2008 growth at 5.9% and the consumer and communications segments will gain share while the computer segment share declines over the forecast period. The computer segment, whose share has been trending downward since 2000, is expected to remain the largest segment by a wide margin, although, by 2012, its share is forecast to be 41.8%, well below the 50% + levels of the 1990s.

China’s semiconductor market to surpass $28 bln by 2011

IDC predicts that the Chinese semiconductor market will surpass $28 billion in 2011. The largest capacity distribution of China fabs was represented by 8″ wafer lines, followed by the 6″ and 12″ capacity respectively. The computing semiconductor segment will account for over 62% of the total China semiconductor market in 2011, with remarkable growth from the portable PC and server semiconductor markets.

21 mln PC-powered processors by 2015

PC-powered processors will enter the market in small quantities during 2009, but will grow to over 21 mln shipments in 2015, according to ABI. Currently, microcontroller use in personal robotics is in the millions; sensor shipments for personal robots will increase to over 2 bln by 2015; and actuators, servos, and manipulators will grow almost 100-fold by 2015 as well.

Silicon wafer area shipments up 8% in 2007

Worldwide silicon wafer area shipments increased by 8% in 2007 when compared to 2006 area shipments, according to the SEMI Silicon Manufacturers Group. Revenues grew by 21% in 2007 compared to 2006, as a result of 300 mm contributing to an overall better product mix. Silicon wafer area shipments in 2007 totaled 8,661 mln square inches (MSI), up from the 7,996 mln square inches shipped during 2006. Revenues grew to $12.1 bln from $10.0 bln posted in 2006.

PC CPU shipments up 12.6% in 2007

For the full year 2007, total worldwide PC processor shipments grew 12.6% compared to 2006, according to IDC. Total revenues grew 1.7% to $30.55 billion. The disparity of unit growth and revenue growth indicates the degree of price erosion that occurred early in the year 2007.

Q4 2007 CPU market shares: Intel – 76.7%, AMD – 23.1%

Intel earned 76.7% market share, a gain of 0.4%. AMD earned 23.1%, a loss of 0.4%, according to IDC. These shares are identical to the shares of Q2 2007. In the mobile processor segment, Intel earned 81.9% share, a gain of 1.1% and AMD earned 17.8%, a loss of 1.1%. In the PC server processor segment, Intel earned 85.4%, a loss of 0.6% and AMD earned 14.6%, a gain of 0.6%. In the desktop PC processor segment, Intel earned 72.1% share and AMD earned 27.7%; share changes were negligible.

PC server CPUs grew 17% in Q4 2007

Shipments of processors for PC servers in Q4 2007 grew17.0% sequentially, according to IDC. Shipments of processors for mobile PCs grew 10.3%, while processors for desktop PCs grew 6.5%. In the desktop processor segment, high-end and mainstream processors represented 87.1% of processors shipped in Q4 2007, up from 84.6% in Q3 2007.

NAND flash demand to increase by 130% in 2008

Demand for NAND flash is expected to increase by 130% YTY, according to DRAMeXchange. Supply bit growth is expected to be 130-140% in 2008. Demand from mobile handset makers is expected to increase by just over 10% YTY to be worth $1.23 bln. MP3/PMP devices will grow by 20% to be worth $200 mln, followed by USB flash drives, which will grow by 25% YTY to be worth $170 mln.

Worldwide semiconductor revenues in 2007

For January through November 2007, DRAM sales are $1.35 bln or 4.8% higher than previously reported. Total semiconductor sales are also $1.35 bln or 0.6% higher than previously reported, SIA admits. January through November 2007 sales are running 3.4% ahead of the same time period in 2006.

Worldwide semiconductor revenues in 2007

419 mln NFC chipsets to ship in 2012

More than 419 mln near-field communications chipsets will ship in 2012, according to ABI Research. NFC revenue is offset by declining unit ASPs. By 2012, ABI Research forecasts that NFC chipset ASP will decline to $0.97, for a total market revenue of $406 mln.

High-performance ceramic coatings generated $1.3 bln in 2006

North American market for high-performance ceramic coatings was an estimated $1.3 bln in 2006, a figure that is expected to rise to nearly $1.4 bln in 2007 and $1.9 bln by 2012, a projected compound annual growth rate (CAGR) of 6.0% over the next five years. The market is broken down into applications of thermal sprays, physical vapor deposition (PVD), chemical vapor deposition (CVD) and other techniques. Thermal spray coatings dominate the market, with about 65% of total sales. CVD accounts for the second-largest share of the market with nearly 16% in 2006, although this%age is expected to decline slightly to 14% by 2012. The share of PVD, the third-largest technology segment, is projected to remain roughly steady at slightly over 12% between 2006 and 2012. Other coating technologies such as spraying/dipping, sol-gel, micro-oxidation and laser assisted techniques should make the biggest gains in market share, from 7% in 2006 to 9% in 2012.

Semiconductor capex spending to be down 10% in 2008

Semiconductor companies are expected to spend about 10% less on capital equipment in 2008 as the industry continues to reel from an oversupply in memory chips and faces a possible spending correction, according to Gartner. Gartner forecasts a worldwide spending on semiconductor capital equipment of $40.3 bln in the coming year, down 9.9% from 2007 when chip companies spent $44.8 bln.

Optoelectronics generated $565 bln in 2006

In 2006, the optoelectronics market achieved new highs with optoelectronics-enabled and components market reaching $565 bln in total revenue, a 14.5% increase from $494 bln in 2005. OIDA forecasts strong and steady growth over the next decade for the optoelectronics-enabled and components markets, with revenue expected to surpass $1.2 trillion by 2017. This is a 2007-2017 compound annual growth rate (CAGR) of 7.7%. The biggest driver for the growth of this market is LCD displays, which will enable a variety of consumer-based products, from TVs to mobile phones to digital assistants. Within optoelectronics-enabled products, the growth drivers over the next decade will be solar, computing/processing, and consumer displays/TVs, projected to achieve a 2007-2017 CAGR of 17.3%, 5.6%, and 6.3%, respectively. The forecast for their combined total revenue in 2017 exceeds $425 bln. In 2006, these three markets achieved revenue of $198 bln. The yearly growth for optoelectronics-enabled products and systems in 2006 ranged from 8% to 43%. Growth was led by environment/sensing (43.1%) and medical care/welfare (28.6%). The two biggest revenue segments, consumer display/TV and computing/ processing, demonstrated solid growth of 20.4% and 8.1%, respectively, from 2005 to 2006.

Semiconductor packaging materials to generate $15.5 bln in 2007

The market for semiconductor packaging materials, including thermal interface materials, is expected to reach $15.5 bln in 2007 and grow to $20.2 bln by 2011, according to a new study by SEMI and TechSearch International. Laminate substrates remain the largest segment of the market, worth an estimated $6.2 bln globally in 2007, and on a unit basis are projected to grow at a compound annual growth rate of over 12% over the next five years.

Semiconductors packaging market estimated revenues in 2007
Segment Revenues, mln.
Laminate Substrates $6,196.0
Flex Circuit/Tape Substrates $262.5
Leadframes $3,118.0
Bonding Wire $3,178.3
Mold Compounds $1,371.0
Underfill Materials $138.0
Liquid Encapsulants $117.0
Die Attach Materials $562.2
Solder Balls $265.0
Wafer Level Package Dielectrics $9.8
Thermal Interface Materials $303.0
Source: TechSearch International

243 removable flash cards to be shipped by 2011

Retail and OEM shipments of removable flash cards expected to more than double to 243 mln units by 2011 from 118 mln in 2007. US Shipments of USB flash drives are expected to rise to 64 mln units in 2011, up from 37 mln in 2007. Worldwide shipments of removable flash storage cards and USB Flash drives will reach 1.5 bln and 308 mln respectively by 2011, iSuppli says.

Array processing equipment for TFT-LCDs to increase 20% in 2008

The worldwide market for array processing equipment for TFT-LCDs will increase 20% in 2008 after dropping 50% in 2007, The Information Network reports. The supply glut experienced in 2006 and 2007 will abate in Q2 2008 and the equipment industry will recover for the entire year, growing 20% and another 9% in 2009.