INDUSTRY NEWS

18 December 2008

Semiconductor industry suffers falling sales

The global semiconductor industry is set to post a fall in revenues for only the fifth time in the last 25 years, according to Gartner.

The analyst estimated that worldwide revenue from semiconductors will total $262 billion (£171 billion) in 2008, a noticeable 4.4 per cent decline compared to the previous year.

It noted that market conditions crumbled rapidly in the last quarter of the year, leading many vendors to update their projections for the year.

Andrew Norwood, research vice president at Gartner, said: "Unfortunately for vendors, 2009 is going to be considerably worse.

"Unlike 2001 [the burst of the dot-com bubble], this economic downturn is much more broad-based and not limited primarily to the technology sector."

Given the state of the economy, Gartner advised all semiconductor companies to take the necessary steps to preserve cash and improve the efficiency of their inventory management.

Looking to the year ahead, the company suggested that 2009 will represent the first time that the semiconductor industry suffers sales declines in consecutive years, with revenue expected to stand at $219 billion (£143 billion), 16 per cent less than 2008.

MORE INDUSTRY NEWS

UPDATED 24/12/2008
Mobile phone market set for 2009 slowdown
The effects of the global financial crisis will finally be felt by the mobile .....

UPDATED 24/12/2008
Social networks 'help youngsters express their identity'
Social networking websites such as Facebook, MySpace and Bebo are so popular with younger .....

UPDATED 24/12/2008
Christmas struggle in store for broadband ISPs
Increasing volumes of online traffic over the Christmas period could leave many internet service .....

UPDATED 23/12/2008
Telecoms and networking 'transformed in 2008'
There was a transformation in the telecoms and networking industries during 2008, one website .....

UPDATED 23/12/2008
More businesses adopt VoIP in 2008, website reports
There was a noticeable increase in the number of businesses adopting voice over-internet protocol .....

UPDATED 23/12/2008
Website looks towards the future of cloud computing
Looking firmly towards the future, ZDNet.co.uk has discussed the use of cloud computing and .....

UPDATED 23/12/2008
Data loss causes internet firms 'to consider information retention policies'
The number of high-profile data loss stories which have been making the headlines in .....

UPDATED 23/12/2008
ISPs 'still overcharging customers', survey finds
Some internet service providers (ISPs) are still overcharging their customers meaning many consumers are .....

UPDATED 22/12/2008
Company websites 'should be attractive to consumers'
Businesses should make sure that their websites are attractive to consumers and get people .....

UPDATED 22/12/2008
PhonepayPlus issues warning to network operators
Network operators have been issued with a warning from PhonepayPlus about the abuse of .....

UPDATED 22/12/2008
Verizon develops undersea cable meshing in 2008
In 2008 Verizon continued to develop undersea-cable meshing, expanding on the original Atlantic network .....

UPDATED 22/12/2008
Consumer technologies pervade business space
Employees are facilitating the entry of consumer technology into the workplace, according to a .....

UPDATED 22/12/2008
Enterprise telecoms spending on the rise
Corporate telecommunications spending will rise to $140 billion (£94 billion) next year, despite the .....

UPDATED 22/12/2008
Mobile broadband operators 'struggling to meet demand'
The telecoms industry needs to find new ways to meet the increasing demand for .....

UPDATED 22/12/2008
Processor vendors fighting for UMD market control
The market for ultra-mobile devices (UMDs) is becoming a "processor battleground", according to ABI .....

UPDATED 22/12/2008
Telepresence market set for massive growth
The global market for telepresence - video conferencing software that makes it seem as .....

UPDATED 22/12/2008
Demand falling for mid-level PCs
A proliferation of low-end PCs is reducing consumer and business demand for mid-level components .....

UPDATED 22/12/2008
Energy concerns prompting green IT adoption
!! Around the world, green IT initiatives are rising to the top of the .....

UPDATED 19/12/2008
Ofcom issues new terms and conditions guide
To protect customers from unfair small print charges, Ofcom has today published guidance for .....

UPDATED 19/12/2008
Verizon improves IP moves for businesses
Verizon is making it easier for businesses using traditional data services to make the .....

UPDATED 18/12/2008
Firms urged to consider long-term benefits of unified communications
Unified communications (UC) systems are vital for companies during the credit crunch as they .....

UPDATED 18/12/2008
Brits refuse to lose Broadband
Broadband has come out top in a list of things Britons would never give .....

UPDATED 18/12/2008
FACT: ISPs must join the fight against piracy
One organisation has called for internet security providers to work with officials to clamp .....

UPDATED 18/12/2008
Wireless spectrum critical to future Irish telecoms
Critical issues regarding the spectrum used for Ireland's wireless infrastructure will be paramount in .....

UPDATED 18/12/2008
Semiconductor industry suffers falling sales
The global semiconductor industry is set to post a fall in revenues for only .....

UPDATED 18/12/2008
Leading firms adopting mobile BI solutions
The majority of best-in-class companies are reporting widespread deployment of mobile business intelligence (BI) .....