Wireless Continues To Pace Semiconductor Industry Growth

The Semiconductor Industry Association (SIA; San Jose, CA) has announced its 1999/2002 industry forecast. In this report, the SIA predicts that the worldwide semiconductor market will grow 15% in 1999 and more than 20% by year-end 2001.

"This is a great year of recovery for the semiconductor industry, says Brian Halla, chair and CEO of National Semiconductor Corporation (Santa Clara, CA). "Demand for semiconductors will surge due to the proliferation of wired and wireless information appliances as well as Internet infrastructure products."

In its report, the SIA predicts worldwide semiconductor sales to hit $144 billion this year. But, growth won't stop here. Overall, the SIA says semiconductor sales will hit $234 billion by 2002.

Driven by cellular phones, flash memory accounted for the fastest growing segment in the semiconductor market in 1999. According to SIA, the flash memory segment should see 63% growth in 1999, reaching $4.1 billion in sales. Overall, SIA sees this market segment jumping to $6.7 billion by 2002.

According to the report, the wireless market also sparked strong growth in the analog segment of the semiconductor industry. SIA says analog will be a $21 billion market in 1999 and a $35 billion market by 2004.

SIA's industry forecast highlights the above sectors as well as the MOS logic, MOS microcontroller, MOS, microprocessor, discrete component, and MOS DRAM segments of the semiconductor industry. To find out additional information on the report, contact the SIA at 408-436-6600 or click here for more information.

Edited by Robert Keenan