©IDG Communications, Inc. Photo contributed by Matthew Mikaelian.
Gartner Press Release, 4/18/11
Total worldwide semiconductor revenue reached $299.4 billion in 2010, up $70.7 billion, or 30.9 percent from 2009, the largest dollar increase for the semiconductor industry in any one year, according to Gartner, Inc. However, the industry just fell short of the milestone $300 billion revenue threshold.
Gartner said that the top 25 semiconductor suppliers accounted for 69.1 percent of semiconductor industry revenue in 2010, and as a group, memory vendors showed the strongest growth.
“The industrywide upturn was due to the combination of pent-up demand that had built in the wake of the worldwide economic recession, and rebuilding of semiconductor inventories that were significantly depleted during the recession and early recovery,” said Peter Middleton, principal analyst at Gartner. “The market began to surge in the second half of 2009, as demand recovery in a variety of market sectors resulted in strong order rates. This continued, almost frantically, during the first half of 2010 as demand soared, prices rose, and we saw lead times expanding significantly.”