Chip market driven by handsets and tablets
The semiconductor market continues to rely on tablets and smartphones for overall market growth and China for growth in electronics production, reports Bill Jewell’s Semiconductor Intelligence.
Forecasts from Gartner and IDC both expect tablet units will grow over 50% from 2012 while PCs should decline from 8% to 10%.
IDC forecast 2013 smartphone unit growth of 40% compared to total mobile phone growth of 7.3%.
For 2014, Gartner projects tablet growth of 43% while PCs should be flat.
IDC’s compound annual growth rate (CAGR) from 2013 to 2017 for tablets is 16% and for smartphones is 14%. IDC expects smartphones will account for over 50% of total mobile phone units in 2013 and 75% in 2017.
Tablet units should pass PC units by 2015 or 2016.
Jewell estimates that tablets and smartphones will contribute 6% growth to the semiconductor market this year.
IDC estimates 84 million more media tablets will be shipped in 2013 than in 2012 and smartphone shipments will increase by 289 million units. Assuming $60 in semiconductor content per tablet or smartphone means the increase in semiconductors in 2013 will be about $5 billion from tablets and $17 billion from smartphones.