Strong growth in semiconductor demand forecast
biz.yahoo.com
REDWOOD CITY, Calif., June 7 (Reuters) - The global semiconductor industry should
grow at a compound annual average growth rate of 20 percent through 2003, an industry
association forecast on Wednesday.
The Semiconductor Industry Association (SIA), in its mid-year forecast, noted the industry
has not seen such growth since the 1993-1995 period.
SIA said growth is being driven partly by the increasing pervasiveness of the Internet.
``We are seeing unprecedented user demand for communications of all kinds -- basic communications, data, and, of course,
Internet access,'' said SIA board member John Dickson.
SIA said the overall growth of the semiconductor industry will be 31 percent in 2000 with revenues of $195 billion and
expanding 25 percent to $244 billion in 2001.
The market is expected to continue its momentum in 2002 with sales of $279 billion, a 14 percent increase, and ending the year
2003 with $312 billion of sales, which is an increase of 12 percent.
Dickson, executive vice president and CEO of Lucent Technologies (NYSE:LU - news) Microelectronics and
Communications Technologies unit, said the America's market will remain the world's largest in the next four years.
He said Asia Pacific, or non-Japan markets, will continue to show robust growth, closing-in on the America's market while the
European market will be right behind Asia Pacific.
``While the Japan market is still recovering from the protracted domestic recession, it will also experience double-digit growth,''
he added in a statement.
The report concluded:
- The Americas will grow 24 percent to $59 billion in 2000, 24 percent to $73 billion in 2001, 13 percent to $83 billion in
2002, and 11 percent to $92 billion in 2003.
- The European market will grow 32 percent in 2000 to $42 billion, 25 percent to $52 billion in 2001, 14 percent to $59 billion
in 2002, and 12 percent to $66 billion in 2003.
- The Japanese market will grow 31 percent to $43 billion in 2000, 22 percent to $53 billion in 2001, 13 percent to $59 billion
in 2002, and 12 percent to $66 billion in 2003.
- The Asia Pacific market is currently the fastest growing semiconductor market. This region is expected to grow 38 percent to
$51 billion in 2000, 29 percent to $66 billion in 2001, 17 percent to $77 billion in 2002, and 14 percent to $88 billion in 2003. |
