PLD recovery won't come until 2003, but 300-mm will help suppliers cut costs, says report
Semiconductor Business News
(10/30/01 10:58 a.m. EST)
EL SEGUNDO, Calif. -- Pulled down by the slump in wired communications systems, the sale of programmable logic devices will plunge 34.1% this year and drop an addition 3.5% in 2002 before a slow recovery takes place in 2003, according to a new forecast released today by iSuppli Corp.
"Because of its concentration on serving wired communications applications, the PLD market is suffering much more than the rest of the electronic components industry and will post revenues of about $2.7 billion this year, a decline of more than 34% from 2000 revenues of about $4.1 billion," said Jordan Selburn, principal analyst with iSuppli in El Segundo.
"We expect PLD revenues to continue to decline in 2002, decreasing about 3.5% to $2.6 billion, before stemming the tide and rising more than 17% in 2003. It will take until 2005 before the industry fully regains the levels of 2000," said the analyst.
PLD revenues are expected to grow 15.5% in 2004 to $3.5 billion and they rise another 14.5% to just over $4 billion in 2005, according to the new forecast.
"Despite the tough road ahead for PLD suppliers, there is significant cause for optimism in the long term," Selburn added. "As 300-mm fab capacity increases late next year, suppliers will have an opportunity to move their designs to larger wafers, reducing device costs and making PLDs a viable option for high-volume applications. PLD supplier initiatives involving the addition of programmable microprocessor and/or DSP [digital signal processor] cores to their products also should have a similar positive impact on the PLD market." |
