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April 2, 2013

Semiconductor revenue to rebound in Q2: report

Expected to rise 7.5% in the third.

By CBR Staff Writer

Semiconductor revenue is expected to rise 3.7% in the second quarter, between April to June period in 2013, according to the report by IHS iSuppli.

The report expects the revenue to rise 7.5% in the third quarter.

According to the report, an increase in demand for the electronic products would result in the companies stocking up on semiconductors to meet chip demand, which will benefit the semiconductor suppliers.

In the fourth quarter of 2012, the revenue observed a marginal growth of 0.1%, while a 3.3% rise was experienced in the first quarter of 2013.

According to the report, the increase in the revenue for the second quarter depended on the rise in the days of inventory (DOI) that measures chip inventory quantities.

The DOI measure is expected to reduce due to the low output and inventory by suppliers caused by the weak demand, the report said.

Earlier, the foundry segment and the fabless sector recorder increase in the DOI by 11.7% and 4.8% respectively, driven by the provision of new technology in supplying chips to customers.

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