Worldwide semiconductor market driven by smartphone demand, says ABI Research

Telecom Lead America: Worldwide semiconductor market is
driven by the ever-increasing demand for smartphones. According to ABI
Research, mobile handset semiconductors, including processors, RF, power
management, and wireless connectivity, grew to more than $30 billion in 2011.

 

The worldwide semiconductor market generated more than
$120 billion in revenue over the last five years and will generate more than
$170 billion during the next five years.

 

Recent growth spurred by the burgeoning smartphone market
has accounted for almost 60 percent of total revenues in 2011. The growth has
been led by more advanced modems, applications processors, and wireless
connectivity ICs.

 

The smartphone market to date has largely been focused
on producing high-end devices,” says Peter Cooney, practice director, semiconductors. OEMs have demanded increasingly powerful
processors to help differentiate their products in a crowded market, leading to
an arms race among applications processor vendors.”

 

But it will become increasingly competitive and once
revenues start to decline after 2014 it will leave one or two vendors thinking
twice about their place in the market.”

 

Applications processor shipments will continue to
grow year-on-year through 2016, however, slowing handset shipments, falling
average selling prices for ICs, and increased integration will force total
revenues to peak in 2014 before beginning a gradual decline.

 

The applications processor market will continue to see
significant growth for the next few years,” said Cooney. But it will become
increasingly competitive and once revenues start to decline after 2014 it will
leave one or two vendors thinking twice about their place in the market.”


Semiconductor revenue from media tablets to reach $9.5 billion
in 2012

 

Recently Gartner said media tablet unit production is
forecast to increase 78 percent over 2011, and semiconductor revenue from media
tablets will reach $9.5 billion in 2012.

 

Quad-core processors and higher-resolution displays will
be mainstream for tablets in 2012.

 

editor@telecomlead.com

 

Latest

More like this
Related

Canada asks 5% revenue share from online streaming services

Telecoms regulator said online streaming services operating in Canada...

Vodafone Idea reveals Capex, Opex, 4G coverage, ARPU in January-March

Vodafone Idea has revealed its financial result – Capex,...

Huawei revenue grew 37% to $24.64 bn in January-March quarter

Huawei Technologies said its revenue for the January-March quarter...

FCC okays T-Mobile’s $1.35 bn Acquisition of Mint Mobile

The U.S. Federal Communications Commission (FCC) announced its approval...