The European semiconductor distribution market continues to show signs of weakness. Semiconductor distribution sales in the second quarter of 2003 declined by 1.1% to $1.16 billion (1.06b euros) , compared with the same period last year, and by 10% sequentially, according to the Distributors' and Manufacturers' Association of Semiconductor Specialists (DMASS). The group is a non-profit organization consisting of 26 companies that make up between 70% and 80% of the total European distribution market.
Regionally, the market saw mixed results in the second quarter. Semiconductor sales through distribution in Germany continue to stabilize, growing 11.7% in the second quarter after experiencing an 8% uptick in the first. In both the United Kingdom and France, semiconductor sales are declining; however, the rate of decline has decreased. The U.K. experienced a 14.7% decline in the second quarter, compared with 18.4% in the first. France declined by 18.7%, compared with 20.7% sequentially.
In Italy, semiconductor sales declined 3.5% in the second calendar quarter, shifting from single-digit growth in the quarter ending in March. The Nordic region declined by 18.7%, compared with 9.4% in the first.
There is, however, more positive reports coming from smaller and emerging regions, DMASS said. Eastern Europe continued to increase its overall market share, up 29% sequentially, the Benelux region ended the second quarter up 21%, and Iberia turned its first-quarter decline into second-quarter growth of 10%.
A few product groups demonstrated significant growth in the second quarter: EEPROMs up 20.7%, microperipherals 17.8%, LEDs 10.5%, fibre optics 10%, and DSPs 9.6%.
With the exception of power MOS sales, up more than 7% in the second quarter over the first, all discretes and power devices declined. DMASS said signs of a slight turnaround could be found in programmable logic, up 5%, while both analog ICs and microcontrollers declined, 11.5% and 3.2%, respectively.