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To: Proud_Infidel who wrote (54265)10/18/2001 1:53:17 PM
From: Proud_Infidel  Read Replies (1) | Respond to of 70976
 
DSP sales will end up 30% lower in 2001, says new forecast
Semiconductor Business News
(10/18/01 13:40 p.m. EST)

TEMPE, Ariz. -- The digital signal processor business will slip just like the rest of the IC industry in downturn of 2001, with DSP revenues falling 30% this year from sales in 2000, according to a revised forecast from Forward Concepts here.

Programmable DSP chip sales are expected to drop from $6.1 billion in 2000 to $4.3 billion in 2001, said the Tempe-based research firm. Forward Concepts also said it has lowered its growth outlook for programmable DSPs to a 32% increase in 2002 from a previous projection of 35%. That would put DSP revenues at $5.7 billion next year.

The forecast for cellular phone shipments--a major application for digital signal processors--was cut to 390 million units in 2001, down from 416 million in 2000, said analyst Will Strauss, president of Forward Concepts.

The other big market for digital signal processors, hard disk drives, is likely to end up flat to slightly positive this year, according to Strauss. More than 100 million DSPs are used in hard disk drives in a year.

Forward Concept's new forecast shows programmable DSP revenues growing 33% in 2003 to $7.5 billion worldwide.