Basic Principles of Data Collection and Report Generation
Member companies are required to provide their revenue data at certain frequency (monthly, quarterly, yearly). A member company that submits the required data on time will receive from WSTS a consolidated report covering corresponding market data. By returning an up-to-date capture of the worldwide semiconductor market to all members, each individual member can permanently monitor the performance of the own company versus the prevailing market development. As the reports issued by WSTS are quite detailed (more than 150 different products in 4 world regions) even companies who participate only in specific products can extract very relevant market data from WSTS reports. As WSTS attempts to represent the entire semiconductor market in its reports, estimates are added for non-participants in cases where the WSTS membership covers less than 100% of the respective market segment.
The generation of the semiconductor industry forecast follows similar principles. Member companies provide their perception of the market development over the following 4 years to WSTS. WSTS applies statistical methods to the received forecast inputs and presents the conclusion to the Committee (the assembly of all member companies) for a final review and adjustment in the so called "forecast meeting". The marketing experts of the participating member companies finally develop a consensus forecast that is published by WSTS twice a year (spring and autumn).
Actual market data and forecast data are continuously correlated and thereby the forecasting methods refined and improved. Not surprisingly WSTS forecasts are constantly in the top ranks regarding accurracy and early recognition of trend changes.