Industrial IC market showing signs of revival

ADI called a cyclical recovery in the chip market as demand returns.

“Against a backdrop of global trade volatility, our performance reflects the ongoing cyclical recovery,” said ADI CEO Vincent Roche (pictured) at the company’s results call.

IMG_0749-150x150.webpADI forecast current quarter revenues at $2.75 billion – higher than market expectations and in line with a similar better-than-expected current quarter forecasts from TI and ST.

“We see Q1 as the bottom,” said ST CEO Jean-Marc Chery at the ST Q1 results meeting.

“All of our markets grew sequentially with the exception of a seasonal decline in personal electronics,” said TI in its Q1 earnings report.

TI CEO Haviv Ilan pointed to “more and more evidence and signals that across all channels, all geographies, a recovery of the industrial market is here.“

ADI also cited increased demand from automotive but said it could have been affected by customers pulling in orders to avoid tariffs. “We do think our auto results were aided by pull-in activity,” said an exec who estimated the pull-in upside for auto orders to be in the high-single digits.

While growth in memory and advanced logic is guaranteed, the wider chip market has been stagnating and positive forecasts from these companies are a sign of a revival of demand from the industrial sector and some increase in orders from auto.

By: DocMemory
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