Analysts: Chip ASPs to fuel two good years
March 07, 2011 // Peter Clarke
Both 2011 and 2012 will be growth years for the global semiconductor industry before a potential downturn in 2013, according to analysts Bill McClean of IC Insights and Malcolm Penn of Future Horizons Ltd.
The two analysts, speaking at the ISS Europe conference held in Grenoble, France, this week, took similar positions and ascribed the two year boom to a return to normal unit demand allied to flat-to-increasing average selling prices (ASPs) for chips.
McClean, CEO of IC Insights, predicted a long-term compound annual growth rate for the chip industry of 9 to 10 percent due to stable ASPs over the next few years. McClean said the difference between IC Insights and Gartner and some other forecasters is that they see ASPs continuing to fall by about 4 percent each year dragging the typical 10 percent unit growth in the chip market down to just 5 or 6 percent growth in monetary value.
Malcolm Penn, founder and CEO of Future Horizons, said there is a 10-year cycle in ASPs and that a turning point has been reached. Growth in ASPs has been happening since the fourth quarter of 2009, he said.
Penn predicted a 9 percent growth year for 2011, up from the 6 percent growth he was predicting in December 2010. "ASPs are recovering and it could easily go into double digits," he said. "Manufacturing capacity will be tight in 2011 and 2012. Fab capex is not yet overheating," he said despite bullish plans from such companies as Intel, Samsung, and TSMC. Penn added that 2012 would be even better at 16 percent, before a contraction in the market by 2 percent in 2013 as overcapacity does strike the market.
SmartMesh IP wireless sensor network starter kit
March 07, 2014
SmartMesh IP is a ready-to-use, IPv6 enabled, low power mesh networking solution from the Dust Networks product group at ...
Conspiracy alleged over Rousset wafer fab closure
Europe loses PV market lead to Asia in 2013
Driverless car sharing concept focuses on digital comfort
Paper-thin ultracapacitor aims to boost Li-ion battery performance
Apple set to transform sapphire wafer market
March 07, 2014
The sapphire industry ended an 18 month period of depressed pricing and achieved $936 million in revenue for wafer products ...
FTDI reveals streaming instruction behind new 32bit architecture
AMD taps UK tool for video verification
UHF RFID the radio technology of choice for Industry 4.0
- DSM presents: Select the best plastic for DDR4
- Wireless Sensor Network Challenges and Solutions
- Putting FPGAs to Work in Software Radio Systems Handbook
- Real-Time Spectrum Analysis for Troubleshooting 802.11n/ac WLAN Devices
InterviewWi-Fi is open for business, which is good news for mobile subscribers
Following the news that Netgear has built a Facebook-linked amenity Wi-Fi option into its routers, enabling businesses to offer free Wi-Fi in return for liking the company Facebook page, David Nowicki, ...
Filter WizardCheck out the Filter Wizard Series of articles by Filter Guru Kendall Castor-Perry which provide invaluable practical Analog Design guidelines.
Linear video channel
READER OFFERRead more
This month, Freescale is giving away ten RIoTboards, worth 74 dollars each, for EETimes Europe's readers to win.
Designed to run Android operating systems efficiently or to run under Linux, the board is based on the Freescale i.MX 6Solo processor; using the ARM Cortex-A9 architecture.
And the winner is...
In our previous reader offer, Crystal Display was giving...Read more
December 15, 2011 | Texas instruments | 222901974
Unique Ser/Des technology supports encrypted video and audio content with full duplex bi-directional control channel over a single wire interface.