SAN JOSE, Calif.—A new report from the Semiconductor Industry Association predicts semiconductor sales worldwide will grow 9.8 percent to nearly $250 billion this year, driven largely by the cell-phone market.
The new forecast is an increase from November forecasts that projected an increase of 7.9 percent this year.
In addition, the report includes more optimistic projections for sales through 2009, including sales growth of 11 percent next year, 12 percent in 2008 and 4 percent in 2009. If the industry reaches those projections it will reach $323 billion in sales by 2009, according to SIA.
“Despite sharply higher energy prices, consumer demand for a wide variety of electronic products continues to fuel growth of the semiconductor industry,” said George Scalise, SIA’s president. “The fastest-growing major end-market segment is cellular telephones—especially third-generation phones. We now believe approximately 1 billion cell phones will be sold worldwide in 2006. With an average semiconductor content of $41 per unit, this segment is now second only to personal computers in terms of total chip consumption.”
