Not what you would expect FWIW
Analyst: IC business back on track in July
Mark LaPedus
8/26/2010 4:31 PM EDT
SAN JOSE, Calif. - After a lull, the IC industry is back on track, at least according to one analyst.
June was a slow month. As reported, June's chip sales of $24.9 billion were 0.5 percent higher than May when sales were $24.8 billion, according to the Semiconductor Industry Association (SIA).
In contrast, July is warming up. ''We think the July 'benchmark' 3-month average of world chip sales will be $25.2 billion verses $24.9 million in June, up 37 percent year-over-year, according to Bruce Diesen, an analyst with Carnegie ASA.
This represents 1.2 percent growth month-over-month. Actual sales should rise 27 percent year-over-year, according to the firm.
''Handset chips should rebound after weakness in June, helped by a ramp-up of many new handset models,'' he said. ''June was hit by the crackdown on small Chinese handset makers who weren't paying taxes. Car chips should be a strong area. In smaller niches, we expect stronger sales of industrial chips used in factory automation and instrumentation.''
The tax problem hit China's Shidai Hualong and others in that nation, which impacted sales at Taiwan's MediaTek.
There were shortages of many chips in July, but they are finally easing in August, he said. The firm is keeping its 2010 chip sales growth estimate at 24 percent. |
