Manufacturing Industry
SIA says chip sales will shrink 14% in 2001.(Semiconductor Industry Association, midyear forecast)(Brief Article)(Statistical Data Included)
Purchasing, July, 2001 by Carbone, James
The news keeps getting worse for the semiconductor industry. In its midyear forecast, the Semiconductor Industry Association (SIA) says chip industry revenue will fall 14% in 2001 to $175 billion. Every product segment will show declines in 2001, according to the SIA outlook. DRAM will see the biggest decline as sales fall 29% to $21 billion.
Industry analysts say the deterioration is due to lower demand for computers and networking equipment and excess inventories that were still being worked off at midyear. But while its short term outlook is grim, SIA says better days are coming. The association believes the industry will begin to recover in second half 2001 and will grow 20.5% in 2002. The semiconductor market is expected to grow from $149...
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