To: Scot who wrote (119205 ) 7/5/2000 10:35:37 AM From: Scot Respond to of 1577931 from last week, but just to remind everyone:Chip Sales Rack Up Another Record In May By J. Robert Lineback, Semiconductor Business News Jun 30, 2000 (11:02 AM) URL: techweb.com Chip sales continued to barrel along at record levels in May, climbing 39.8 percent, to $15.8 billion, worldwide, compared with $11.3 billion in the same month last year, said a market report released Friday by the Semiconductor Industry Association. The SIA still sees nothing ahead to slow down the momentum for at least the next two years. "May's strong global sales are in line with our recently released mid-year forecast that predicts a 31 percent growth rate for 2000," said George Scalise, president of the San Jose, Calif.-based trade group. Earlier in June, the SIA hiked its forecast for worldwide semiconductor sales in 2000, to $195 billion. Chip revenue is expected to reach $312 billion in 2003. Last fall, the SIA predicted chip sales would grow 21 percent, to $174 billion in 2000, but strong demand for semiconductors and higher average selling prices have changed the outlook. Sequentially, chip revenue grew 3.9 percent in May from $15.2 billion in April, based on the SIA's three-month moving average. The trade group said growth drivers in May were across a range of market segments, including standard linear devices, field programmable logic, DSPs, flash memories, DRAMs, and PC microprocessors. Demand for semiconductors in the Americas snapped back to life in May. Chip sales in the region grew 32.5 percent, to $4.85 billion vs. $3.66 billion in the month last year, and they increased 6.1 percent, from $4.57 billion in April. In the previous SIA sales report, chip sales in the Americas grew only 0.7 percent in April from March's $4.54 billion. As in recent months, semiconductor growth in the Asia-Pacific region was extremely hot in May. The region's chip sales surged 45.8 percent, to $4.05 billion in May, compared with $2.78 billion in the same month last year, the SIA's monthly billings report said. Asia-Pacific chip sales were 4.2 percent higher than $3.89 billion in April, based on the three-month moving average. Semiconductor sales in Japan jumped 43.6 percent, to $3.52 billion last month vs. $2.45 billion in May 1999, the SIA said. Japan's chip sales were up 2.8 percent from April's $3.43 billion. In Europe, semiconductor sales were up 40 percent, to $3.38 billion compared to $2.42 billion in May 1999, and up 1.9 percent from $3.32 billion in April, said the SIA report, which is based on data from the World Semiconductor Trade Statistics trade organization that represents 70 companies globally.