SEMI book-to-bill hits 1.41; chip gear orders reach another record in February
Semiconductor Business News
(03/21/00, 08:26:24 AM EDT)
MOUNTAIN VIEW, Calif.--New orders for chip production systems hit a record-high $2.3 billion in February, pushing the book-to-bill ratio for North American-based suppliers to 1.41, said the Semiconductor Equipment and Materials International (SEMI) trade group here.
February's book-to-bill reading was the second highest in the history of SEMI's Express Report and the highest level in nearly five years. A book-to-bill of 1.41 means $141 in orders were received for each $100 of products shipped. In January, SEMI's book-to-bill ratio was at 1.39.
North American-based suppliers posted their fourth-straight month of record orders in February, based on SEMI's three-month moving average. The book-to-bill report is further evidence of a tremendous buildup in semiconductor manufacturing capacity after the three-year recession in the late 1990s. The lack of capital investments has pushed the chip industry to the brink of being sold out of wafer fab capacity (see Feb. 25 story).
Growth rates in semiconductor equipment orders and shipments cooled off in February, compared to the previous month. Based on SEMI's three-month moving average, bookings were up 2% in February from $2.34 billion in January. February's shipments were even with January's $1.61 billion, said SEMI, which released its report late Monday evening.
But compared to a year ago, semiconductor equipment orders and shipments are sizzling. Bookings for chip production gear were up 120% from $1.03 billion in February 1999. Shipments were 90% higher than $845 million recorded in the same month last year.
"Though moderated from January's 15% jump, total equipment bookings continued to rise in February," noted Stanley T. Myers, president of Mountain View-based trade organization. "Apparently, equipment production facilities have been running flat out as shipment levels have remained constant." |
