The Asia-Pacific region is forecast to increase its share in the ASIC market by 17 percent from 2004 to 2014, according to new research in IC Insights’ soon-to-be-released Mid-Year Update to the 2014 McClean Report. Asia-Pacific is the only region forecast to significantly increase in ASIC market share – Europe is expected to increase by 0.9 percent and America’s share will drop about five percent, over the forecast period, according to the market research firm.
In 2013, the Asia-Pacific ASIC market gained almost four percent market share as Japan’s ASIC market fell 21 percent, primarily driven by a very weak Japanese yen versus U.S. dollar exchange rate. Japan held the largest ASIC market share from 2004 to 2009 but lost ground to Asia Pacific when electronic system production moved from Japan to the low-cost regions, according to the report.
The report reveals Asia-Pacific is expected to gain another 2.5 percent share in 2014, driving the region’s total ASIC market share to more than 40 percent, and 51 percent larger than it was ten years ago. The Japanese ASIC market will be 42 percent less than it was in 2004 despite a forecast increase of six percent this year. The America’s region is expected to be 28 percent smaller than in 2004, while the ASIC market for Europe will only be about five percent less in 2014 compared to 2004.
By product category, in 2014, Japan is expected to be the market leader for gate array sales ($82 billion) and full-custom ASICs ($1.5 billion). The Asia-Pacific region will be the largest market for standard cells ($3.3 billion) and PLDs ($2.3 billion). The Asia-Pacific PLD market is forecast to grow by 24 percent in 2014 and will remain the largest PLD market through at least 2018, according to the report.
By 2018, IC Insights forecasts the Asia-Pacific region will represent 45.5 percent of the total ASIC market, more than the combined shares of the Americas and Japan ASIC markets. Europe’s share will be 12.4 percent in 2018, down 0.5 percent from its forecast share in 2014.