Global semiconductor market increases 9% in 2014
Worldwide semiconductor revenues grew by 9.2% in 2014, coming in just slightly below the 9.4% growth estimated previously, according to IHS. The year ended on a strong note with the fourth quarter showing 9.7% year-over-year growth.
Global revenues in 2014 totaled US$354.5 billion, up from US$324.7 billion in 2013, IHS said. The nearly double-digit percentage increase follows solid growth of 6.6% in 2013, a decline of 2.6% in 2012 and a marginal increase of 1.3% in 2011. The performance in 2014 represents the highest rate of annual growth since the 33% boom of 2010, IHS indicated.
“While 2014 marked a peak year for semiconductor revenue growth, the health of both the semiconductor supply base and end-market demand, position the industry for another year of strong growth in 2015,” said Dale Ford, VP and chief analyst at IHS Technology. “Overall semiconductor revenue growth will exceed 5% in 2015, and many component categories and markets will see improved growth over 2014. The more moderate 2015 growth is due primarily to more modest increases in the memory and microcomponent categories. The dominant share of semiconductor markets will continue to see vibrant growth in 2015.”
Intel maintained its strong position as the largest semiconductor supplier in the world followed by Samsung Electronics and Qualcomm at a strong number two and three position in the rankings, IHS said. On the strength of its acquisition of MStar, MediaTek jumped into the top 10 replacing Renesas Electronics at number 10. The other big mover among the top 20, Avago Technologies, also was boosted by an acquisition, moving up nine places to number 14 with its acquisition of LSI in 2014, IHS noted.
Strategic acquisitions continue to play a major role in shaping both the overall semiconductor market rankings and establishing strong leaders in key semiconductor segments, IHS suggested. NXP and Infineon will be competing for positions among the top 10 semiconductor suppliers in 2015 with the boost from their mergers/acquisitions of Freescale Semiconductor and International Rectifier, respectively.