Gartner Expects 25% Jump In Global Chip Revenues

By Agence France-Presse Global semiconductor revenues are expected to grow at least 25% this year to $221 billion, powered by rising demand in the Asia Pacific, industry research house Gartner Inc. said May 25. Additionally, the market is expected to clock up revenues of almost $300 billion by 2008. This would be the best showing in four years for the industry, whose fortunes are vulnerable to any slowdown in consumer spending, especially in the United States, the world's biggest economy. This year's expected stellar performance is driven mainly by booming demand from Asian electronics manufacturers who are seeing their biggest orders in recent times for almost everything, including mobile phones, computers, laptops and wireless gizmos. Indeed, Asia Pacific excluding Japan is expected to buy almost $90 billion worth of semiconductors this year -- up from $71 billion last year -- with the figure seen to grow to at least $135.5 billion in four years' time, Gartner said. Copyright Agence France-Presse, 2004