According to International Data Corporation (IDC), 2009 worldwide semiconductor revenues declined to $225.1 billion (decrease of 9%). The top five chip suppliers were Intel, Samsung, Texas Instruments, Toshiba, and Qualcomm. The five suppliers maintained about 34.3% of the semiconductor market. So far, 2010 appears to be very strong. Semiconductor inventory checks indicate strong demand in the first half of 2010 with order rates expected to normalize in the second half of the year. Assuming there are no macroeconomic shocks to global economy, IDC expects 16-18% year-over-year semiconductor revenue growth for 2010.
Key IDC Findings
- Intel had total semiconductor revenues of $33.8 billion in 2009 and increased its share of the semiconductor market by about 1% to 15.2%
- Samsung reported a 6.7% in semiconductor revenues
- Atheros, Cavium, Mediatek, NetLogic, Synaptics, and Richtek saw double digit year-over-year growth in 2009
- DRAM memory markets bounced back in the second half of 2009 resulted in revenue growth for Samsung, Hynix, Elpida, Micron, and Nanya Technology
- Asia/Pacific, with 49.6% share based on semiconductor consumption, remained the leading market for semiconductors in 2009
- While growth in Americas was close to flat, all other regions experienced negative year-over-year growth
- EMEA declined the most (-18.8%) followed closely by Japan (-18.3%)
- Among the vertical markets for semiconductor usage, the Computing segment was still the largest at 37.8%, followed by Wireless (22.1%) and Consumer (18.5%)
- Declines in Computing and Wireless segments were similar to the overall semiconductor market
- Increased demand for LCD televisions in the second half of 2009 tempered decline in Consumer segment to 3.2%
- Industrial, Military and Others segment (which includes Medical) and Automotive segment saw declines of 13.2% and 14.6%, respectively
- Several companies saw severe revenue declines due to industry consolidation, spin-offs, increased competition, or declines in their vertical markets (examples include the bankruptcy by Qimonda, the sale of wireline business to Lantiq by Infineon, and the formation of joint venture ST- Ericcson)
The IDC Semiconductor Market Share Report includes semiconductor revenue data from about 100 semiconductor suppliers, segmented by over 20 device types, four geographic regions, and six vertical markets and presents data for prior three years. The companies selected cover over 90% of the semiconductor market and over 85% of supplier revenues for each device type.
More info: IDC