European semis sales mixed in June - Embedded.com

European semis sales mixed in June

LONDON — The latest market figures published by WSTS show a mixed result for European semiconductor sales in June – negative on a quarter by quarter development but still positive on a year over year comparison with the second quarter of 2006.

European semiconductor sales in June 2007 amounted to $3.207 billion according to the World Semiconductor Trade Statistics (WSTS), down 1.8 percent versus the previous month. This corresponds to a 1.6 percent growth compared to the same month last year. On a year-to-date (YTD) basis semiconductor sales increased by 3.2 percent versus the same period in the year 2006.

The exchange rate of the Euro compared to the dollar continued its impact on the growth data in the recent months. Measured in Euro, semiconductor sales in June 2007 were €2.379 billion down 2.3 percent on previous month and down 5.2 percent versus the samemonth a year ago. On a YTD basis semiconductor sales showed a decline of 4.5 percent versus the same period in the year 2006.

The European Semiconductor Industry Association (ESIA), part of the European Electronic Component manufacturers’ Association (EECA), says the positive growth of sales for total semiconductor products in units in the first part of the year seems to suggest that price developments are still exerting strong pressures on the market.

This outcome was also observed in other regions of the world. DRAMS and microprocessors are mostly following this line, reporting a strong decline in the second quarter of 2007 over the first quarter this year.

Flash memories and logic chips used for consumer and communication applications reported a positive growth during the second quarter, both sequentially and year on year. Digital signal processors reported a moderate growth over the first quarter of2007.

Discretes, optoelectronics, standard logic products and logic chips used for computer and automotive applications failed to meet expectations in the first half of this year, and dip in the second quarter, sequentially and on the second quarter of 2006.

On a worldwide basis, semiconductor sales in June 2007 were $19.953 billion, down 1.7 percent versus the previous month. This results in an increase of 0.9 percent versus the same month in 2006 and on a YTD basis it results in a growth rate of 2.1 percent.

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