Supply chain management/technology: Third quarter microchip sales on rebound
Meanwhile, demand for semiconductors for industrial applications – a sector that had declined sharply -- showed initial signs of recovery.
Patrick Burnson -- Logistics Management, 11/2/2009
SAN JOSE, CALIF—Worldwide sales of semiconductors in the quarter ended September 30 were $61.9 billion, an increase of 19.7 percent from the prior quarter when sales were $51.7 billion, the Semiconductor Industry Association (SIA) reported today.
As reported in LM last week, this corresponds to a slight bump in Transpacific air cargo figures for year-to-date as well.
“Global semiconductor sales in the third quarter were above expectations,” said SIA President George Scalise. “September sales were in line with historical patterns, reflecting increased demand from end-users as they began the build for the holiday season. Unit sales of personal computers and cell phones – the two largest demand drivers for semiconductors – continue to run ahead of earlier forecasts. Meanwhile, demand for semiconductors for industrial applications – a sector that had declined sharply -- showed initial signs of recovery. Sales increased in all geographic regions.
Third-quarter sales were 10.1 percent lower than the $68.9 billion reported for the like period of 2008. September 2009 sales were $20.1 billion, an increase of 8.2 percent from August when sales were $19.1 billion. All monthly sales numbers represent a three-month moving average of global semiconductor sales.
“Amid signs that we are in the early stages of recovery in the global economy, semiconductor sales continue to reflect normal seasonal patterns. Sales are running well ahead of the worst-case scenarios projected early in the year, and we are optimistic that total sales for 2009 will be better than our mid-year forecast,” Scalise added
The news was also welcomed by spokesmen for Eyefortransport, a London-based conference company, staging its third annual “The Hi-Tech & Electronics Supply Chain Summit” in San Jose next week.
Organizers are hoping that news will generate more interest in its senior-level event for Supply Chain Executives from Hi-Tech & Electronics Manufacturers and Retailers.
“The recession has seen companies take unprecedented measures to cut costs and restructure operations, with remarkable success in some areas,” said spokesmen. As we move into 2010 and look towards an eventual economic upturn, it will be crucial for companies to maintain a culture of extreme cost cuts while ensuring enough flexibility to adapt to changing market demands.”
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