New markets, new designs

Electronic News, Jan 5, 1998 by Jim DeTar

Overall, Most Are Bullish

Overall, most senior semiconductor executives interviewed were bullish and say they think the semiconductor market will grow at a healthy clip in 1998. "1998 will be an up year," said Mr. Perham. "The fundamentals of the semiconductor business are very good. We have had some consolidations, and a shift in supply/demand in the memory area. There are 20 new factories in Taiwan, and we have gone from 0.5-micron to 0.35-micron without having to change equipment. You will see memory oversupplied at least through '98, possibly into '99. I wouldn't say it's going to grow strongly but it's going to grow," he noted.

Mr. Perham added that the continuing economic woes in Asia could have an impact on U.S. equipment vendors. "Asia Pacific is perhaps 25 percent of the (manufacturing equipment) buying business. If they wake up and find out 100 of their money is worth 80 then we are going to see a drop in equipment purchases."