Conditions in the global semiconductor industry are set to improve from 2015 enabling a modest recovery in 2016, according to Nicky Lu, chairman and CEO of Taiwan's fabless firm Etron Technology.

Chip sales experienced a decline in the third quarter of 2015 bucking seasonal trends, said Lu. Sales for the fourth quarter are set to register only flat growth, Lu estimated.

Chip sales will continue their flat growth in the first quarter of 2016, but will start to rise in the second quarter, Lu noted. The market should return to its seasonal growth pattern in the third quarter of 2016, Lu said.

A number of new and emerging applications will be spotlighted at CES 2016, such as virtual reality (VR) applications, Lu said. Etron has identified several trends that will direct consumer electronics companies' new product development, such as cameras providing 360-degree field of view, unmanned aerial vehicles (UAVs), 3D printed dolls, robots and wearable VR devices, Lu indicated.

Etron also views 2016 as the year of VR, with many new applications ready for the general consumer market, Lu said. Etron's offerings for VR applications include USB 3.1 device controllers, and chip solutions for video capture devices and 360-degree cameras.

Etron previously disclosed plans spin off its USB controller IC and 3D image sensor businesses into two wholly-owned separate companies. The move is to enhance product line depth.

Etron's core specialty DRAM business has extended its market reach to smart home applications such as smart TVs and set-top boxes, while also cutting into the supply chain of car electronics companies.

By: DocMemory
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