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Chip sales strong, but outlook cloudy

Chip sales got off to a good start in 2013, with sales up 3.8% year-on-year to $24 billion. According to the Semiconductor Industry Association, North and South America were the biggest drivers of growth; sales were up 10.5% year-on-year. Manufacturers in Europe and Japan bought fewer chips last month than they did a year ago, with Japan’s sales off more than 12%.

“Led by continuing strength in the Americas, the global semiconductor industry has built on its momentum from the end of 2012 with an encouraging start to 2013, but ongoing economic uncertainty is holding back more robust growth,” said Brian Toohey, president and CEO of the Semiconductor Industry Association. “The across-the-board spending cuts that hit last week and the threat of a government shutdown later this month are just the latest examples of fiscal disruptions that sidetrack economic growth.”

More than half of all chip sales in January were to the Asia-Pacific region, exclusive of Japan. Sales were up 7.8% year-on-year to $13.6 billion. Chip sales in the Americas totaled $4.8 billion, in Europe $3.0 billion, and in Japan $2.6 billion.

Compared to December, only the Americas region showed an increase in semiconductor sales during January. Overall sales fell 2.8% from January to February. 3 month moving average sales were down in every region of the world.

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Martha DeGrasse
Martha DeGrassehttp://www.nbreports.com
Martha DeGrasse is the publisher of Network Builder Reports (nbreports.com). At RCR, Martha authored more than 20 in-depth feature reports and more than 2,400 news articles. She also created the Mobile Minute and the 5 Things to Know Today series. Prior to joining RCR Wireless News, Martha produced business and technology news for CNN and Dow Jones in New York and managed the online editorial group at Hoover’s Online before taking a number of years off to be at home when her children were young. Martha is the board president of Austin's Trinity Center and is a member of the Women's Wireless Leadership Forum.