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Mon, Dec 11, 2006 - Page 11 News List

Sales forecasts of semiconductors for next year raised

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Global sales of semiconductor equipment will probably rise more than previously forecast this year and next, an industry group said, as chipmakers raise capacity to meet demand for memory chips in consumer electronics.

Sales of the manufacturing, testing and assembly machines will climb to US$42.1 billion next year, compared with the US$39.4 billion estimated in July, Semiconductor Equipment and Materials International said in a statement in Tokyo on Dec. 4.

"Memory chip demand," especially NAND flash, was most responsible for forecast increase, Stanley Myers, SEMI president, said at a news conference in Tokyo last monday.

Global chip equipment revenue will probably climb to US$40.6 billion this year, compared with an earlier projection for US$38.8 billion, the San Jose, California-based trade group said.

Equipment revenue may grow more slowly next, as chipmakers absorb capacity added in the current year, Myers said.

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