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Chip sales flat over the holidays


Tuesday, February 3, 2004 The three-month average of worldwide chip sales fell by 0.5 percent to $16.03 billion in December from $16.12 billion last November, the Semiconductor Industry Association reported.

Despite the flat December, the market was up 28 percent compared with December 2002. Chip makers recorded an 11 percent fourth quarter sequential gain and the 2003 sales were up to $166.4 billion in 2003, up 18.3 percent from the $140.8 billion in 2002.

Consumer Electronics such as DVD and LCD TVs as well as PC sales were a major contributor to growth in the fourth quarter. Both memory and microprocessors used in the PCs were up 10.6 and 7.9 percent respectively in the December quarter over the September quarter, the SIA said.

The global wireless market grew 16 percent in 2003, double initial forecasts. In 2003's final quarter, year-over-year volumes were up 20 percent with DSP sales rising 11.6 percent in the quarter and flash memory up a hefty 29.3 percent.

SIA predicted that 2004 chip market would grow by more than 19 percent.

By: DocMemory
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