BANGALORE, India Communication products and equipment will account for $1.8 billion, or nearly half of India’s $3.8 billion in semiconductor sales this year, according to a Frost and Sullivan study commissioned by the India Semiconductor Association.
"The share of this (communications) segment will continue to increase as the mobile phone market and wireless equipment market expands rapidly. Shares of segments such as computing and consumer will decline," the study said.
Major global companies have set up plants in India to manufacture communication devices and equipment, the most recent being Motorola Inc.. Electronic manufacturing services firms such as Flextronics, Solectron and Jabil Circuits have also expanded operations here to serve the communications market.
The study noted that Philips and STMicroelectronics have the broadest semiconductor presence in India. Others suppliers Analog Devices, Texas Instruments, Microchip, Freescale, Samsung, and Hynix focus on specific products and markets.
Overall, India accounts for one percent of the global semiconductor market in 2006 and will comprise two percent in 2007, the study added.