PHOENIX, USA: Year 2008 was forecast to be a good growth year, until external events in worldwide financial markets overtook the SIP market. The SIP industry was not immune to the market forces unleashed in 2008, declining 21.9 percent in 2009.
However, the recovery which arrived in the second half of 2009 prevented the 3rd party SIP from declining at an even steeper rate.
It is Semico's view that the SIP market will continue to perform at rates comparable to other semiconductor markets, with 17.1 percent growth in 2010. This is due to the trend for more and more SIP to be instantiated into SoCs and other device types that use SIP. Semico believes that semiconductor unit shipments will be strongly positive in 2010 and into 2011.
The SIP market is undergoing a round of consolidation with the number of companies shrinking approximately 50 percent by 2010 compared to 2000. However, this is not a sign of a weakening market, but rather of the market sorting itself out with strong contenders consolidating their positions. Semico projects this market to continue to grow, exhibiting a CAGR of 12.6 percent from 2010-2015.
Wednesday, October 6, 2010
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