Staggering growth seen for multimedia chip sales...............
solid-state.com
Worldwide market for multimedia semiconductors
Mercedes Whitbread, Electronic Trend Publications, San Jose, California
Since the beginning of the era of personal computers, tremendous efforts have
been expended to enhance delivery of multimedia. Today, quality multimedia
has become a key element in the computer and consumer electronics industries'
current product thrust. This study examines the key semiconductor devices
underlying multimedia products. Included are audio, video, 3D graphics, and
multifunction devices used in PC-based and consumer-based multimedia. The
world market for multimedia semiconductors has been growing at an
impressive rate. Applications requiring multimedia semiconductors of all types
are increasing and are using current chips -- while making room for the next
generation of chips as well. Thus, the worldwide multimedia semiconductor
market is expected to grow even more rapidly through the end of the decade,
particularly as the world of consumer electronics and computers overlap, and
as these two converge with communications.
In 1996, the worldwide market for the multimedia semiconductors (specialized
audio/video processors) covered by this report reached 45 million units for
revenue of $896 million. By 2001, this market is expected to reach 229 million
units shipped and $6.8 billion revenue, for a compound annual revenue growth
rate of 50%.
Personal computing has been the major driving force behind this market to
date. And since there is no sign of a slowdown in the overall market for
personal computers -- growth is predicted at anywhere from 10 to 20%
annually for the next several years -- there will be high demand for
semiconductor devices for many years as well. The highest future growth will
come from the consumer electronics market. Products like set-top boxes and
DVD players are expected to provide a healthy chunk of the multimedia
semiconductor revenue throughout the world. DVD players, in particular, are
expected to replace current CD-ROM players and VCRs in home
entertainment. Once they reach an acceptable consumer price point, DVDs
should be shipping in the tens of millions/year. |
