Neelie Saves Europe From The Brink
It looks as though Neelie Kroes’ 10/100/20 programme to invest $100 billion to get Europe a 20% share of the chip market has come none too soon – Europe’s share of global semi capex this year will be just 3%, says IC Insights.
IC Insights forecasts capex spending by Europe-based ST, Infineon, and NXP and all other European semiconductor suppliers combined will amount to less than $1.5 btoo soon illion in 2013.
Asia-Pacific is the capex king – accounting for 53% of capex marketshare in 1H13, down slightly from its 55% peak in 2010, says IC Insights.
The capex was spent mainly on fabs to produce DRAM and flash memor and microcontrollers, and to bolster wafer foundry operations.
Mostly on account of spending by Intel, GlobalFoundries, Micron, and SanDisk, North America accounted for 37% of capital spending in 1H13, a few points higher than the steady 29%-33% share it has held since 1990.
Led by Samsung, Intel, and TSMC, there are nine semiconductor suppliers that are forecast to spend more money on their own than Europe will spend collectively in 2013.
In IC Insights’ opinion, IC manufacturers that are currently spending less than $1.0 billion a year on capital outlays will find it just about impossible to continue being able to manufacture using leading-edge digital processing technology.
Which would be bad news for the future of FD-SOI – had it not been for the support of Neelie Kroes.