Global sales of semiconductors reached $88.3 billion in the third quarter of 2016, which marks the industry’s highest quarterly sales, according to the Semiconductor Industry Association (SIA). This is an increase of 11.5 percent compared to the previous quarter, bringing a year-to-date total of $245.7 billion. However, sales still lag 2015’s year-to-date total of $252.3 billion.
“The global semiconductor market has rebounded markedly in recent months, with September showing the clearest evidence yet of resurgent sales,” said John Neuffer, SIA’s president and CEO, in a statement.
“The industry posted its highest-ever quarterly sales total, with most regional markets and semiconductor product categories contributing to the gains,” added Neuffer. “Indications are positive for increased sales in the coming months, but it remains to be seen whether the global market will surpass annual sales from last year.”
Global sales of semiconductors reached $29.4 billion in September 2016, increasing by 4.2 percent compared to the previous month. China led the market with a month-to-month sales increase of 5.4 percent.
“China stood out in September, leading all regional markets with growth of 5 percent month-to-month and 12 percent year-to-year,” said Neuffer.
The World Semiconductor Trade Statistics (WSTS) report shows that month-to-month sales increased in September across all regions: China (5.4 percent), the Americas (4.6 percent), Asia Pacific/All Other (4.2 percent), Japan (2.3 percent), and Europe (1.6 percent).
“In September, exchange rate effects had a relatively less significant impact on the European sales picture when comparing market growth in euros and in dollars,” according to the European Semiconductor Industry Association (ESIA). “Measured in euros, semiconductor sales were 2.471 billion euros in September 2016, up 1.7% compared to the previous month and a decrease of 4.2% versus the same month a year ago.”
Compared to the same month in 2015, sales in September increased in China (12.0 percent), Japan (4.2 percent), and Asia Pacific/All Other (1.7 percent), but decreased in the Americas (-2.4 percent) and Europe (-4.0 percent).
By product category, NAND flash and microprocessors posted solid growth in September. “Standouts among semiconductor product categories included NAND flash and microprocessors, both of which posted solid month-to-month growth in September,” stated Neuffer.
Rising market demand, coupled with under supply, has led to continuing price hikes for both NAND flash and DRAM memory devices. Some of the biggest growth drivers include server and smartphone markets.
All key product categories were up in September compared to August, with strong growth for logic (4.4%), MOS microcomponents (1.8%), and application-specific semiconductor devices (2.7%), according to the ESIA.
All monthly sales numbers are compiled by the World Semiconductor Trade Statistics (WSTS) organization and represent a three-month moving average. Click here to purchase the WSTS Subscription Package.