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Technology / Networks

Semiconductor spending by major OEMs to reach $279.4bn in 2014

Total semiconductor spending by major original equipment manufacturers (OEM) is expected to increase to $279.4bn in 2014, a report from IHS has revealed.

According to the report, the semiconductor spending is expected to rise by 4.2% from $254.4bn in 2012 to $265.2bn in 2013, representing about 83% of the total semiconductor market of $318.8bn.

The served available market (SAM) semiconductor spending is expected to reach $241.3bn in 2013 excluding the internal chip consumption in the companies, and will slightly lower than total available market (TAM).

IHS semiconductor spend and design activity senior analyst, Myson Robles-Bruce, said that depending on the metric used either Samsung or Apple will be the top chip spender for 2013.

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"Either way, the honor does not merely signify bragging rights but also carries attendant overtones of prestige and influence, with the incumbent leader often tacitly acknowledged by all others as the industry’s top semiconductor spender," Bruce added.

Majority of the spending in 2013 is expected to be from wireless communications that would hold about 26% market share and with an annual increase of 12.8%.

In the wireless segment, handsets will lead the market with OEM chip spending expected to reach $46.7bn, followed by media tablets with $8.2bn.

The computer platforms representing PCs and similar computing devices is expected to remain in second position with about 23% of OEM chip spending.

Regionally, China, which became the world’s biggest market for PC shipments last year, is expected to contribute major part of the PC-related chip spending in spite of the global computer market slow down.
This article is from the CBROnline archive: some formatting and images may not be present.

CBR Staff Writer

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