Chip Industry Increases by 21.8% In 2010

There have been various reports about the semiconductor market and how some of the chip makers performance in 2010, especially during the fourth quarter, but SIA has finally issued its press release regarding the overall situation.

The Semiconductor Industry Association (SIA) found that all major semiconductor categories grew by double-digit percentages over the course of 2010, compared to the previous year.

Even with all the slowdown in the fourth quarter, it seems that monthly decline was actually modest instead of serious.

In December, for instance, worldwide semiconductor sales were of $25.2 billion, 3% lower than the previous month yet 12.2% higher on year.

Likewise, total fourth quarter sales were of $75.5 billion, showing a 4% sequential (quarterly) drop, yet the same increase of 12.2% over Q4, 2009.

Coupled with the performance of the semiconductor market during the first three quarter of 2010, the final sales figure was significant.

To be more specific, sales actually reached a record $298.3 billion, a full 31.8% boost from 2009, when the number was $226.3 billion.

“Semiconductor sales are a bright spot in our current economic picture, delivering a record high in the billions. The year-over-year growth is due in part to the increased use of semiconductor technology in a wider range of electronic devices that we have come to enjoy in modern life,” said Brian Toohey, president, Semiconductor Industry Association.

“Our member companies continue to ramp up their operations to meet the growing demand for semiconductor innovation.”

“Semiconductor design and manufacturing facilities are strategic to our nation’s economic growth. However, our industry is faced with fierce global competition and our policymakers and regulators must ensure that we have balanced tax, regulatory and trade policies to allow our industry to continue to flourish in the U.S. and remain America’s largest export industry,” Toohey concluded.