Collective revenue for Japanese semiconductor suppliers declined by 7.5 percent in the second quarter compared to the first quarter, IHS said. Half of the Japanese chip suppliers experienced decreases in revenue. However, deep drops in revenue by leaders such as Toshiba., Renesas, Fujitsu Semiconductor Ltd. and Mitsubishi magnified the overall decline, IHS said.
"This has become a standard pattern for revenue growth for Japanese chip suppliers, as they typically see strong growth during their fiscal year ending March each year—followed by a decline during their first fiscal quarter ending in June,” Ford said. “The expectation is that Japanese suppliers will see a rebound in their revenues in the quarter ending in September."
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Among the world’s top 10 semiconductor suppliers, Qualcomm Inc. posted the best second quarter results, increasing sales by 23.7 percent year-over-year. Qualcomm moved to No. 4 on the semiconductor supplier rankings, up from No. 7 last year. Broadcom Corp. grew 10 percent year-over-year to move to No. 9 from tenth, IHS said.
Samsung Electronics Co. Ltd., the world's No. 2 supplier of chips, grew revenue in the second quarter by 5.8 percent compared with the second quarter of 2011, boosted primarily by its acquisition of Samsung Electro-Mechanics, IHS said.
So, the situation is improving except for maybe in Japan. I think 2010 and 2011 was a strong years because of recession in early years but EU and Japan is constantly marred by slow growth. Good to see that US is doing well though.
I hope the statement "Japanese suppliers will see a rebound in their revenues in the quarter ending in September" rings true... Renesas is poised to make some tough decisions on spinning off SoC business and downsize its fab operations. So the situation in Japan may bet even worse before turning around.
Perhaps it doesn't seem like a lot, but it's a significant decrease from Q2 last year. And, importantly, IHS believes the fact that chip sales grew only 3 percent compared to the first quarter puts the industry on too low a trajectory to achieve growth this year.