Overall worldwide semiconductor revenues will fall by almost 5% in 2012 to just over $200 Billion. 15 of the top 20 semiconductor vendors including Intel, Samsung, Texas Instruments, and STMicroelectronics will see their semiconductor product revenues decline in 2012, compared with 2011. A handful of companies have managed to buck this trend and outperform the overall market and in many cases the continued growth of the smartphone market has been crucial to their success.
“Revenues for platform and wireless connectivity IC used in smartphones grew almost 30% year-on-year from 2011 to 2012 and this has helped companies such as Qualcomm and Broadcom grow in a lackluster year for the overall semiconductor market,” said Peter Cooney semiconductor practice director. “Competition in this market is no doubt fierce but those with a strong market position are very well rewarded.”
Revenue growth will not continue unabated, integration both in platform ICs and connectivity ICs will be a negative factor but with many high profile companies exiting the market there is still a strong potential for revenue growth for the dominant suppliers. 13% revenue growth is expected in 2013 but this will slow to single-figure growth from 2014 onwards.
“In the past few years we have seen many once dominant players leave the mobile handset IC market,” added Cooney. “Freescale and Texas Instruments both exited to focus on more industrial markets and STMicroelectronics recently announced that it will pull out of its joint venture with Ericsson despite increasing design wins for ST-Ericsson’s Thor and NovaThor products. The exit of these high profile players is indicative of the strong competition in the handset IC market, the moves by OEMs such as Samsung and Huawei to vertically integrate shows that competition can only increase.”
These findings are part of ABI Research’s Mobile Device Semiconductors Database.
ABI Research provides in-depth analysis and quantitative forecasting of trends in global connectivity and other emerging technologies. From offices in North America, Europe and Asia, ABI Research’s worldwide team of experts advises thousands of decision makers through 70+ research and advisory services. Est. 1990. For more information visit www.abiresearch.com , or call +1.516.624.2500 .
About ABI Research
ABI Research is a global technology intelligence firm uniquely positioned at the intersection of technology solution providers and end-market companies. We serve as the bridge that seamlessly connects these two segments by providing exclusive research and expert guidance to drive successful technology implementations and deliver strategies proven to attract and retain customers.
ABI Research 是一家全球性的技术情报公司，拥有得天独厚的优势，充当终端市场公司和技术解决方案提供商之间的桥梁，通过提供独家研究和专业性指导，推动成功的技术实施和提供经证明可吸引和留住客户的战略，无缝连接这两大主体。
For more information about ABI Research’s services, contact us at +1.516.624.2500 in the Americas, +44.203.326.0140 in Europe, +65.6592.0290 in Asia-Pacific, or visit www.abiresearch.com.
Asia: +65 6950.5670