Analog IC markets prosper in 2006

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26 July 2006 News

Semiconductor market intelligence supplier Databeans has just released its annual market report on analog ICs. According to the report, worldwide analog product revenue is expected to outperform many other semiconductor product markets in 2006.

Databeans expects analog sales to be higher in all of the major markets, and in communications and consumer segments especially, driven by the increased demand from portable electronics and handsets, and by increasing consumption by the Asia Pacific region.

Databeans' semiconductor forecast has been calling for an increase in revenue of 14% for 2006, while the company's analog revenue forecast calls for an increase of 23%. Although revenue growth was relatively flat in 2005, and limited for the most part, analog was driven by demand for wireless, consumer electronics, and of course by the foundries, such as TSMC.

Databeans expects that analog will be much stronger for 2006, with the increased demand coming from portable consumer electronics, 3G handsets, and network upgrades. Anything portable will need improved battery management, and higher processing performance will require faster data conversion and greater precision in amplification. Analog suppliers will have opportunities to increase revenue substantially, and to expand gross margins as well.

The study discusses trends and emerging market opportunities for analog products, which include amplifiers, comparators, data converters, power management ICs, and application specific devices used by markets such as automotive, computer storage and peripherals, consumer, wireless and wired communications, and industrial.

Significant findings include:

* Global spending on analog IC products expected to reach $38 million in 2006.

* Long term growth trend expected to average 11% each year for revenue and 12% each year for units.

* Wireless and power continue to dominate in terms of volume and revenue share.

* Worldwide leaders include Texas Instruments, STMicroelectronics, Infineon Technologies, Philips Semiconductors, and Analog Devices.

For more information see www.databeans.net

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Analog IC markets prosper in 2006

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