ICmarket Review & Market Strategy
According to the World Semiconductor Trade Statistics (WSTS), the global semiconductor market grew by 13.7% in 2018. Semiconductor Intelligence reviews the forecasts each year and compares them to the final WSTS data. So, what’s the outlook for 2019? 2018 semiconductor market finished with a weak turn of 8.2% decline in the 4th quarter.
After 3 consecutive years of growth and sales of 13.2% in 2018, the global semiconductor market, according to the ICmarket review, will by a decline by $440 billion this year, a downfall of 7.2% from $474 billion in 2018.
The Leaders So Far…
IC Insight’s top 15 positions for the world semiconductor sales in Q1 2019 included six of the biggest suppliers headquartered in the U.S, 3 in Europe, 2 each in Japan and South Korea and 1 each in China and Taiwan.
Sales of 15 top semiconductor companies dropped by 16% in 1Q19 compared to 1Q18. Taking as volatile nature of the memory market, the 3 big memory suppliers – Samsun, SK Hynix and Micron, each registered a year-to-year decline in revenues by at least 26% in 1Q19. These companies were recognized to have 40% of year-to-year growth earlier in 1Q18.
13 of the top 15 companies had sales of at least $2.0 billion in 1Q19, 1 company less than in 1Q18. It took over $1.7 billion in quarterly sales just to make into the top 15 supplier list of 1Q19.
The US-China trade war has accelerated as both the countries hiked tariff rates and the US banned the firms from doing business with Huawei, one of the largest customers of tech industry. It estimates memory chip revenue to fall 30.6% on a year-to-year basis in 2019.
The Prediction for Growth in Sale
For the future, revenues for mobile wireless communications segment will grow by 1.8% on a year-to-year basis this year with a CAGR of 4.8% for 2018-2023. RF subsystems in mobile devices will drive most of the revenue growth. The consumer semiconductor segment will grow at a 6.4% CAGR for 2018-2023 as IoT devices and home automation continues to gain attention. For more update visit kahan.in
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