Semiconductor industry returns to growth in September

After a slight decline of revenues in August, the global semiconductor industry posted solid sales growth for September.

According to the Semiconductor Industry Association (SIA), chip sales climbed 5.2 percent sequentially, from S18.6 billion to $19.6 billion. The annual growth rate was 5.6 percent, up from $18.5 billion reported for September 2004. Semiconductor sales for the first nine months of 2005 totaled $167.6 billion, an increase of 6.1 percent from the first nine months of 2004, the SIA said.

"Global semiconductor sales were very strong in September despite earlier concerns that rising energy prices and declining consumer confidence would impact sales of electronic products," said SIA President George Scalise. "The September numbers show strong demand across most major product lines, reflecting continued strength in end markets. Demand for chips used in a wide array of consumer products accounted for much of the September increase."

According to the SIA, Q3 PC unit sales continued to surpass expectations, increasing by 17 percent over the same period of 2004, while unit sales of cell phones increased by 25 percent from the third quarter of 2004. The organization expects total 2006 semiconductor revenues to hit $226 billion.