IDC predicts growth in semiconductor market in 2011 between 6 and 8%

In 2010, the scale of the global semiconductor market expanded by 24%, with an output value of US$283 billion. It is also expected to continue to expand in 2011, with an increase of approximately 6 to 8%.

According to IDC, a research organization, the global semiconductor recovery in 2010 was very strong, and products, regional markets, or related devices were all successful. Device applications such as smart phones, tablet PCs, e-book readers, automotive electronics, notebook computers (NBs), data center servers, wireless and wired communication infrastructures, work together to promote the steady growth of consumer semiconductor products.

IDC has tracked more than 100 semiconductor companies and most of them have performed well in 2010. In the same year, Intel’s related performance of Intel’s semiconductors reached US$41.9 billion, and it took the lead in the overall semiconductor industry. Samsung Electronics ranks second with semiconductor revenue of approximately US$27.6 billion, and its market share grew by 2% compared to 2009.

Other wafer suppliers such as Texas Instruments, Toshiba, Hynix, Renesas Electronics, and NEC performed well, with the top 10 suppliers including the whole About 51% of the semiconductor market's output value rose by 6 percentage points from 2009.

In semiconductor projects, data processing and communication chip designs are increasingly oriented toward the development of special applications. IDC research director MaliVenkatesan explained that because terminal devices are equipped with high-end operating systems, stressing connection capabilities and application processing operations, they all promote the emergence of smart system single chip (SCoC).

In addition, it is worth noting that in the semiconductor industry in 2010, the Asia-Pacific region holds about 51% of the semiconductor output value. The market output value of this region is about 30% higher than that of 2009. The market is mainly driven by the mainland market, which is also the 2010 consumer semiconductor product. The first major country, the same period in the United States can not be underestimated, the market share reached 48%, while Japan's performance was poor.

If we divide the semiconductor market vertically, we can see that the proportion of consumer semiconductor products in the overall market is the highest, reaching 39%, due to rapid demand for e-book readers, tablet PCs, and other products, which strongly increase the output value of consumer semiconductors by 13.3%. Followed by communications semiconductor and industrial projects.

During this period, vehicle semi-conductor = project grew by 39% in 2010. The main reason is that the weak base in 2009, the low base, highlighting the strong expansion in 2010, in addition to strong sales of cars in the United States, BRIC, and other regions will also help, currently Major automotive and hybrid vehicles are equipped with automotive electronics and semiconductors.

Venkatesan added that the fierce competition in the semiconductor market and the consolidation of mergers and acquisitions have caused some of the industry to fall. Overall, however, the semiconductor industry performed well in 2010, and major manufacturers' revenues and profits all saw growth. It is expected that the merger and acquisition activity in 2011 will still be the focus of the industry, and small and medium-sized enterprises will be potential targets for mergers and acquisitions.

In addition, considering factors such as the past trend of semiconductors, overcapacity in the second half of 2011, and the overall economic level, such as the Japan earthquake, high US unemployment rate, high national debt, global inflation, and other factors, IDC estimated the growth of global semiconductor output in 2011. The potential is somewhere between 6 and 8%.