Global Semiconductor Sales Up Nearly 10 Percent

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Global semiconductor sales grew to $19.7 billion in May, up 9.4 percent from a year ago, according to a new report. Analog chips and digital signal processors, both used in cell phones, were direct contributors to the growth, according to the report from the Semiconductor Industry Association (SIA). It’s amazing to see just how many processors companies are producing!

Analog chip sales grew 21.5 percent from May 2005 to May 2006, the report said, and digital signal processor sales grew 13.7 percent over the same period. Sales of PC processors declined 2 percent in the same period, an indication of inventory correction and greater competition, said Scalise. He also noted that consumers will benefit since the increased competition has put the average selling price of a notebook computer at $1,000. In the United States, overall chip sales were up by 9.6 percent, jumping from $3.2 billion in May 2005 to $3.5 billion in May 2006.

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