Nov 6, 2010 11:43 GMT  ·  By

Even with all the uncertainties regarding certain regions, the market for semiconductors has still grown over the course of 2010, but it seems that the rate at which sales increase will decline somewhat over the next two years.

As end-users may remember, 2008 was quite dismal for the IT market and the recovery only started in 2009.

With 2010 apparently less economically unstable than the previous years, the semiconductor market managed to take off again.

In fact, according to a recent press release made by SIA (Semiconductor Industry Association), total sales for this year are expected to grow by roughly 33% over those of 2009.

While very encouraging, this figure won't come even near to being matched by the performance of the semiconductor market over the next two years.

In other words, while the 32.8% year-over-year boost expected for 2010 equates to total sales of $300.5 billion, this figure won't be rivaled overmuch after that.

“We experienced record sales this year due to strong global demand across a broad range of end markets,” SIA President Brian Toohey said in a statement.

The so-called “more moderate growth through 2012” will be of about 6 % next year, leading to sales of $318.7 billion, and just 3.4% in 2012, for $329.7 billion.

The main issues will be declining demand on the part of consumers, especially in the PC market, although not all parties appear to share this concern.

In fact, Sterne Agee analyst Vijay Rakesh actually thinks the PC market could still improve.

“Our checks in the PC supply chain indicate an increased level of optimism with PC shipments in line with prior guidance for the fourth quarter,” Rakesh stated.

“PC shipments continue to improve quarter-on-quarter past the slump in July despite concerns of PC slowdown and competition from competing form factors like tablets,” the analyst concluded.