Click here to close now.




















Welcome!

News Feed Item

IDC Forecasts Worldwide Semiconductor Revenue Will Grow 6.9% and Reach $320 Billion in 2013

Semiconductor revenue worldwide will see improved growth this year of 6.9% and reaching $320 billion according to the mid-year 2013 update of the Semiconductor Applications Forecaster (SAF) from International Data Corporation (IDC). The SAF also forecasts that semiconductor revenues will grow 2.9% year over year in 2014 to $329 billion and log a compound annual growth rate (CAGR) of 4.2% from 2012-2017, reaching $366 billion in 2017.

Continued global macroeconomic uncertainty from a slowdown in China, eurozone debt crisis and recession, Japan recession, and the U.S. sequester's impact on corporate IT spending are factors that could affect global semiconductor demand this year. Mobile phones and tablets will drive a significant portion of the growth in the semiconductor market this year. The industry continued to see weakness in PC demand, but strong memory growth and higher average selling prices (ASPs) in DRAM and NAND will have a positive impact on the semiconductor market. For the first half of 2013, IDC believes semiconductor inventories decreased and have come into balance with demand, with growth to resume in the second half of the year.

"Semiconductors for smartphones will see healthy revenue growth as demand for increased speeds and additional features continue to drive high-end smartphone demand in developed countries and low-cost smartphones in developing countries. Lower cost smartphones in developing countries will make up an increasing portion of the mix and moderate future mobile wireless communication semiconductor growth. PC semiconductor demand will remain weak for 2013 as the market continues to be affected by the worldwide macroeconomic environment and the encroachment of tablets," said Nina Turner, Research Manager for semiconductors at IDC.

According to Abhi Dugar, research manager for semiconductors, embedded system solutions, and associated software in the cloud, mobile, and security infrastructure markets, "Communications infrastructure across enterprise, data centers, and service provider networks will experience a significant upgrade over the next five years to support the enormous growth in the amount of data and information that must be managed more efficiently, intelligently, and securely. This growth is being driven by continued adoption of rich media capable mobile devices, movement of increasingly virtualized server workloads within and between datacenters, and the emergence of new networking paradigms such as software defined networking (SDN) to support the new requirements."

Regionally, Japan will be the weakest region for 2013, but IDC forecasts an improvement over the contraction in 2012. Growth rates in all regions will improve for 2013 over 2012, as demand for smartphones and tablets remain strong and automotive electronics and semiconductors for the industrial market segment improve in 2013.

Other key findings from IDC's Semiconductor Application Forecaster include:

  • Semiconductor revenue for the computing industry segment will log year-over-year growth of 2.0% for 2013 and will show a slow CAGR of only 0.9% for the 2012-2017 forecast period. Semiconductor revenue from mobile PC demand will register year-over-year growth of -0.6% in 2013, only returning to positive growth in 2015.
  • Semiconductor revenue for the mobile wireless communications segment will grow 10.3% year over year in 2013 with a CAGR of 5.2% for 2012-2017. Semiconductor revenue for 4G phones will experience an annual growth rate of 121.8% in 2013 and a CAGR of 37.9% for 2012-2017.
  • Media tablets, e-Readers, blu-ray DVD players, and set-top boxes will continue to drive above average semiconductor revenue growth. Sales of CRT and rear projection TVs, HD receivers, digital video and still cameras, and DVD recorders and players will continue to erode. Overall, semiconductor revenue for the consumer segment will record year-over-year growth of 15.0% in 2013 and a 2012-2017 CAGR of 7.5%.
  • The 4.3% year-over-year growth in 2013 in wired communications infrastructure semiconductors will be driven primarily by enterprise switches and routers, security appliances, and service provider switches and routers. Optical transport equipment, TDM and VoIP IMS, service provider head-end access equipment, and consumer network will also grow in 2013 over 2012, but to a lesser extent.
  • Driven by the increase in semiconductor content in automobiles (i.e. applications such as in-vehicle infotainment, automobile body electronics, and driver safety systems), semiconductor revenue for the automotive segment is expected to grow 5.3% in 2013.
  • Regionally, Asia/Pacific will experience year-over-year growth of 6.9% in 2013 and a CAGR of 4.9% for 2012-2017.

The IDC report, Worldwide IDC Semiconductor Market Forecast, 2012–2017: Midyear Update (IDC #242375), contains additional detail about the worldwide semiconductor market forecast, forecast by industry and device type, top 10 device applications by revenue for 2013, and top 5 device applications by 2013 year-over-year growth.

IDC's Worldwide Semiconductor Applications Forecaster database serves as the basis for all IDC semiconductor supply-side documents, including market forecasts and consulting projects. This database contains revenue data collected from over 100 of the top semiconductor companies for 2007-2012 and market history and forecasts for 2009-2017. Revenue for over twelve semiconductor device areas, four geographic regions, seven industries, and more than 65 end-device applications are also included in the database. For more information about the SAF, please contact Nina Turner at [email protected]

About IDC

International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community to make fact-based decisions on technology purchases and business strategy. More than 1,000 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. For more than 49 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. You can learn more about IDC by visiting www.idc.com.

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
As more and more data is generated from a variety of connected devices, the need to get insights from this data and predict future behavior and trends is increasingly essential for businesses. Real-time stream processing is needed in a variety of different industries such as Manufacturing, Oil and Gas, Automobile, Finance, Online Retail, Smart Grids, and Healthcare. Azure Stream Analytics is a fully managed distributed stream computation service that provides low latency, scalable processing of ...
Too often with compelling new technologies market participants become overly enamored with that attractiveness of the technology and neglect underlying business drivers. This tendency, what some call the “newest shiny object syndrome,” is understandable given that virtually all of us are heavily engaged in technology. But it is also mistaken. Without concrete business cases driving its deployment, IoT, like many other technologies before it, will fade into obscurity.
Puppet Labs has announced the next major update to its flagship product: Puppet Enterprise 2015.2. This release includes new features providing DevOps teams with clarity, simplicity and additional management capabilities, including an all-new user interface, an interactive graph for visualizing infrastructure code, a new unified agent and broader infrastructure support.
With the proliferation of connected devices underpinning new Internet of Things systems, Brandon Schulz, Director of Luxoft IoT – Retail, will be looking at the transformation of the retail customer experience in brick and mortar stores in his session at @ThingsExpo. Questions he will address include: Will beacons drop to the wayside like QR codes, or be a proximity-based profit driver? How will the customer experience change in stores of all types when everything can be instrumented and a...
Consumer IoT applications provide data about the user that just doesn’t exist in traditional PC or mobile web applications. This rich data, or “context,” enables the highly personalized consumer experiences that characterize many consumer IoT apps. This same data is also providing brands with unprecedented insight into how their connected products are being used, while, at the same time, powering highly targeted engagement and marketing opportunities. In his session at @ThingsExpo, Nathan Trel...
SYS-CON Events announced today that HPM Networks will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. For 20 years, HPM Networks has been integrating technology solutions that solve complex business challenges. HPM Networks has designed solutions for both SMB and enterprise customers throughout the San Francisco Bay Area.
Cloud and datacenter migration innovator AppZero has joined the Microsoft Enterprise Cloud Alliance Program. AppZero is a fast, flexible way to move Windows Server applications from any source machine – physical or virtual – to any destination server, in any cloud or datacenter, using its patented container technology. AppZero’s container is also called a Virtual Application Appliance (VAA). To facilitate Microsoft Azure onboarding, AppZero has two purpose-built offerings: AppZero SP for Azure,...
WSM International, the pioneer and leader in server migration services, has announced an agreement with WHOA.com, a leader in providing secure public, private and hybrid cloud computing services. Under terms of the agreement, WSM will provide migration services to WHOA.com customers to relocate some or all of their applications, digital assets, and other computing workloads to WHOA.com enterprise-class, secure cloud infrastructure. The migration services include detailed evaluation and planning...
SYS-CON Events announced today that G2G3 will exhibit at SYS-CON's @DevOpsSummit Silicon Valley, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Based on a collective appreciation for user experience, design, and technology, G2G3 is uniquely qualified and motivated to redefine how organizations and people engage in an increasingly digital world.
A producer of the first smartphones and tablets, presenter Lee M. Williams will talk about how he is now applying his experience in mobile technology to the design and development of the next generation of Environmental and Sustainability Services at ETwater. In his session at @ThingsExpo, Lee Williams, COO of ETwater, will talk about how he is now applying his experience in mobile technology to the design and development of the next generation of Environmental and Sustainability Services at ET...
This Enterprise Strategy Group lab validation report of the NEC Express5800/R320 server with Intel® Xeon® processor presents the benefits of 99.999% uptime NEC fault-tolerant servers that lower overall virtualized server total cost of ownership. This report also includes survey data on the significant costs associated with system outages impacting enterprise and web applications. Click Here to Download Report Now!
SYS-CON Events announced today the Containers & Microservices Bootcamp, being held November 3-4, 2015, in conjunction with 17th Cloud Expo, @ThingsExpo, and @DevOpsSummit at the Santa Clara Convention Center in Santa Clara, CA. This is your chance to get started with the latest technology in the industry. Combined with real-world scenarios and use cases, the Containers and Microservices Bootcamp, led by Janakiram MSV, a Microsoft Regional Director, will include presentations as well as hands-on...
SYS-CON Events announced today that Micron Technology, Inc., a global leader in advanced semiconductor systems, will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Micron’s broad portfolio of high-performance memory technologies – including DRAM, NAND and NOR Flash – is the basis for solid state drives, modules, multichip packages and other system solutions. Backed by more than 35 years of tech...
SYS-CON Events announced today that Pythian, a global IT services company specializing in helping companies leverage disruptive technologies to optimize revenue-generating systems, has been named “Bronze Sponsor” of SYS-CON's 17th Cloud Expo, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Founded in 1997, Pythian is a global IT services company that helps companies compete by adopting disruptive technologies such as cloud, Big Data, advance...
It’s been proven time and time again that in tech, diversity drives greater innovation, better team productivity and greater profits and market share. So what can we do in our DevOps teams to embrace diversity and help transform the culture of development and operations into a true “DevOps” team? In her session at DevOps Summit, Stefana Muller, Director, Product Management – Continuous Delivery at CA Technologies, answered that question citing examples, showing how to create opportunities for ...