Abstract
Databeans predicts that the computer sector will remain the largest single
consumption market for semiconductor components in 2009 with 29 percent of the
overall market share. This is despite particularly weak demand in the computer
industry, combined with the limited availability of credit, for both
businesses and consumers alike, which will drive down worldwide revenue an
estimated 21 percent from $75 billion in 2008 to $59 billion in 2009.
The market is expected to rebound in 2010 and experience solid average growth
over the next five years of over 11 percent annually due to a recovering
global economy which will improve PC replacement rates. Wireless
communications and consumer markets are predicted to continue to outpace the
computer sector due to greater end-product demand from consumers.
Consumption of semiconductors is largely driven by the computer market due to
the numerous devices needed in each product. Microprocessors currently
comprise the largest product segment with $21 billion in sales or 36 percent
of the market, followed by memory with $16 billion in sales. Memory, due to
reduced pricing of Flash and DRAM and functional displacing the hard drive in
many designs in the future, is expected to experience the market' s best
overall growth rates of 17 percent over the next five years which will cause
it to overtake MPUs and reach $35 billion by 2014. Logic is the third largest
product segment.
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