AMD, Intel ditch WSTS
The decision by AMD and Intel to leave World Semiconductor Trade Statistics (WSTS) organization in 2012 was short-sighted and harmful to the global semiconductor industry, not to mention both chip makers.
Here’s why it’s a mistake.
Intel and AMD were ranked No. 1 and No. 12, respectively, in worldwide IC sales in 2011. Combined chip sales for the two firms ($56.3 billion) represented 23 percent of global IC sales ($247.1 billion, according to WSTS) last year.
“Given the sheer size of Intel and AMD, their significant share of the worldwide IC market, and their dominance of the microprocessor market (with a combined share of more than 90 percent), there is no doubt that their withdrawal from reporting into WSTS will have a negative effect on the WSTS database,” argues Bill McClean, president of IC Insights.
A reliable database is critical to the supply chain serving every chip company -- including Intel and AMD. That supply chain includes raw wafer manufacturers, chemical and gas suppliers, semiconductor equipment companies, packaging houses along with EDA and other software suppliers . “They rely in some part on WSTS data to help them plan and budget their businesses,” noted McClean.
Then there are the unintended political consequences. Without Intel and AMD sales included in the WSTS database, “the Americas IC market could eventually appear much smaller and less important than it actually is,” said McClean.
The Semiconductor Industry Association (SIA) is the voice of the semiconductor industry. The loss of AMD and Intel will weaken “the ability of the SIA to create and establish its policy goals,” McClean warns.
The numbers speak for themselves.
Intel, AMD pull out of WSTS
Why Intel, AMD departure from WSTS harms U.S. chip industry