WSTS Semiconductor Market Forecast Spring 2006

Release Date: 30. May 2006 - 03:00 UTC

Spring Forecast Meeting 16 May to 19 May 2006, Sapporo, Japan

WSTS Projects 10.1 percent global semiconductor growth in 2006

Worldwide Chip Market to Grow 11 percent in 2007, 12.8 percent in 2008

The global semiconductor market is expected to grow 10.1 percent on an annualized basis to $250 billion in 2006, according to the spring forecast of the World Semiconductor Trade Statistics (WSTS). Projected growth in the worldwide semiconductor market will accelerate to 11.0 percent in 2007 and 12.8 percent in 2008 with Asia-Pacific being the largest and fastest growing regional market.

The WSTS 2006 projection is higher than the forecast released last autumn, which estimated an 8.0 percent growth for the year. The WSTS foresees a continuation of the growing demand enhanced by increasing semiconductor content for electronic products such as PCs, digital consumer appliances and mobile communications within a challenging but generally healthy world economy.

The current forecast assumes a consistent growth scenario as the industry anticipates positive growth throughout the forecasting period with low double-digit growth in 2006 followed by two more years of solid double-digit growth until 2008. While the forecasted semiconductor market does not show a pronounced cyclical pattern, several geographic regions and product groups maintain cycles similar to historical patterns. Asia Pacific continues to be seen as the fastest growing region, to a lesser extent because of a continuing shift in manufacturing but rather more due to rising domestic demand in this region.

For further information, please consult (click on name for email address):

In the AmericasJeff ElliottAmericas Vice Chairman+1(408)433 8253
In EuropePatrice VaslotEurope Vice Chairman+33(1)5807 7763
In JapanToshio IchiyamaJapan Vice Chairman+81(3)5201 5046
In Asia PacificTony HuangAsia Pacific Vice Chairman+886(2)81777168x1368
For the WorldMike LeeWorld Chairman+82(31)208 3513

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