Strategy Analytics: Photovoltaics Emerge as Fastest Growing GaAs Market

Business Wire, Oct 2, 2008

Demand from Photovoltaics Grows to over 20 Percent through 2012

BOSTON -- The latest Strategy Analytics analysis on the semi-conducting (SC) GaAs bulk substrates market, "Semi-conducting GaAs Bulk Substrate Market 2007-2012," predicts that end demand for SC GaAs bulk substrates from photovoltaic markets has the potential to grow at a CAAGR (compound annual average growth rate) of 79 percent through 2012, representing over 20 percent of demand.

LEDs will continue to represent the largest end market for SC GaAs bulk substrates, accounting for 39 percent of demand. Overall, the merchant market for SC GaAs bulk substrates will grow at a compound annual average growth rate of 7% through 2012 in terms of area.

"Mitsubishi Chemical, Sumitomo Electric Industries and Hitachi Cable are the market leaders," noted Asif Anwar, Director of Strategy Analytics' GaAs service. "Collectively, the Japanese leaders accounted for over 64 percent of the total market. Other significant suppliers in 2007 in rank order included AXT, Dowa, Freiberger Compound Materials and Neosemitech."

Other key findings from "Semi-conducting GaAs Bulk Substrate Market 2007-2012" include:

* The merchant market represented 88 percent of total output in 2007 with the Japanese suppliers accounting for the captive demand.

* Three- and four-inch material accounted for 70 percent of wafer output in 2007 and the market for larger diameter material will continue through 2012.

* VGF and VB-based substrates accounted for 64 percent of wafer output in 2007 and this will increase to 75 percent through 2012.

This report, "Semi-conducting GaAs Bulk Substrate Market 2007-2012," is available from Strategy Analytics at: http://tinyurl.com/4ytqys.> About Strategy Analytics

Strategy Analytics, Inc offers high frequency market intelligence on Automotive Electronics and Entertainment, Broadband Connected Home, Mobile & Wireless Products & Systems, and Virtual Worlds. Headquartered in Boston, MA, with offices on five continents, Strategy Analytics works with clients through annual multi-client services, management team workshops and custom consulting engagements. For more information, please visit www.strategyanalytics.com.