Texas Instruments (TI) maintained its position as the top analog IC supplier in 2015 with $8.3 billion in sales, giving the company an 18 percent market share, according to IC Insights. TI’s analog sales surpassed the combined revenue of the next three largest analog suppliers – Infineon, Skyworks, and Analog Devices, and accounted for 69 percent of its total semiconductor revenue last year.
Rounding out the top five is STMicroelectronics (ST), which slipped from #2 in 2014 to #5 in 2015. This attributed to Infineon’s move up one position to #2 and Skyworks two-position climb to #3. ST’s analog sales dropped 13 percent in 2015 due to soft equipment sales across computer, consumer, automotive and industrial customers, according to IC Insights.
Sales in the global analog IC market reached $47.0 billion in 2015, growing two percent over the previous year, according to the latest research from IC Insights. The two key product segments include general-purpose analog products ($19.1 billion) and application-specific analog devices ($27.9 billion). The report also finds that signal conversion devices showed the largest increase in 2015, growing 14 percent to reach $2.9 billion.
TI’s dominance in the analog IC space took off in 2009. This is when the company “doubled down on its long-term efforts to dominate this market segment,” and “became the first company to manufacture analog devices on 300-mm equipment,” according to IC Insights.
An acquisition of two wafer fabs in Japan and China, which were converted to manufacturing analog ICs, followed in 2010. TI also acquired National Semiconductor in April 2011, adding to its analog arsenal. In addition, TI’s transition to 300-mm manufacturing capacity at its newer RFAB and older DMOS 6 fabs helped the company reduce its production costs by 40 percent, said IC Insights.
The top 10 analog IC suppliers in 2015 accounted for 56 percent of global analog sales last year, down from 57 percent in 2014, according to the report. Together, Infineon, NXP, and ST – Europe’s largest IC suppliers – accounted for 15 percent of the analog IC market share in 2015.
As shown in the chart, nine of the top suppliers achieved analog sales in excess of $1 billion with five exceeding $2 billion in sales. Key findings among the top ten also show that only tenth-ranked Renesas fell below $1 billion, and NXP, ranked #7, outperformed the total analog IC market with 10 percent growth in 2015.
IC Insights forecasts the total analog IC market to grow four percent in 2016, reaching $49.1 billion. The market research firm also expects the market to surpass $50 billion for the first time in 2017, reaching $51.4 billion. The analog IC market is expected to grow at a compound annual growth rate of six percent from 2015 to 2020, one point higher than the total IC market.