To: matt dillabough who wrote (19181 ) 5/30/2006 10:09:27 AM From: Proud_Infidel Read Replies (1) | Respond to of 25522 WSTS raises chip forecast Mark LaPedus (05/30/2006 9:47 AM EDT) SAN JOSE, Calif. — The World Semiconductor Trade Statistics (WSTS) organization Monday (May 30) raised its semiconductor forecast. The global semiconductor market is expected to grow 10.1 percent on an annualized basis to $250 billion in 2006, according to the spring forecast of the WSTS. Projected growth in the worldwide semiconductor market will accelerate to 11.0 percent in 2007 and 12.8 percent in 2008, according to the organization. The WSTS 2006 projection is higher than the forecast released last autumn, which estimated an 8.0 percent growth for the year. While Asia-Pacific is the largest and fastest growing region, the WSTS “foresees a continuation of the growing demand enhanced by increasing semiconductor content for electronic products such as PCs, digital consumer appliances and mobile communications within a challenging but generally healthy world economy.” “The current forecast assumes a consistent growth scenario as the industry anticipates positive growth throughout the forecasting period with low double-digit growth in 2006 followed by two more years of solid double-digit growth until 2008,” according to the WSTS. “While the forecasted semiconductor market does not show a pronounced cyclical pattern, several geographic regions and product groups maintain cycles similar to historical patterns. Asia Pacific continues to be seen as the fastest growing region, to a lesser extent because of a continuing shift in manufacturing but rather more due to rising domestic demand in this region,” according to the WSTS.