Worldwide semiconductor revenues decreased 9% to $225.1bn in 2009, as the industry was hit hard in the first half due to the global economic downturn, according to a new study by IDC.

However, the chip demand bounced back in the latter half of 2009 with some of the industry leaders even gaining revenues and market share compared to 2008.

According to the study, Intel gained the top spot with total semiconductor revenues of $33.8bn, accounting for a market share of 15.2%. Samsung stood second with its revenue increasing 6.7% over 2008. The top five chip suppliers were Intel, Samsung, Texas Instruments, Toshiba, and Qualcomm, maintained about 34.3% of the market.

While several companies saw declines in 2009, many of them including Atheros, Cavium, Mediatek, NetLogic, Synaptics, and Richtek saw double digit year-over-year growth in 2009. DRAM memory markets also partially bounced back in the second half of 2009, resulting in revenue growth for Samsung, Hynix, Elpida, Micron, and Nanya Technology.

Geographically, Asia/Pacific, with 49.6% share based on semiconductor consumption, remained the leading market for semiconductors in 2009. Growth in Americas was close to flat while all other regions experienced negative year-over-year growth. EMEA declined the most (-18.8%) followed closely by Japan (-18.3%).

Among the vertical markets for semiconductor usage, the computing segment was still the largest at 37.8%, followed by wireless (22.1%) and consumer (18.5%). Declines in computing and wireless segments were similar to the overall semiconductor market.

Mali Venkatesan, research manager at IDC, who led the study and compiled the Semiconductor Market Share market and company view, said: Overall, the semiconductor market in 2009 started with doom and gloom, but ended up with optimism for a strong recovery in 2010. So far, 2010 is already proving to be very strong. Semiconductor inventory checks indicate strong demand in the first half of 2010 with order rates expected to normalise in the second half of the year.

“Assuming there are no macroeconomic shocks to global economy, IDC expects 2010 to be a banner year, with 16-18% year-over-year semiconductor revenue growth. The big question now is: What will be the market outlook in 2011?