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iSuppli ranks chip suppliers, raises 2005 semiconductor outlook

Dec 02, 2005

Intel Corp. in 2005 is expected to solidify its position as the world's leading semiconductor supplier, posting the highest revenue growth among the top-10 chip makers for the year, according to a preliminary ranking from iSuppli Corp.

The U.S. microprocessor giant is expected to generate semiconductor revenue of $35.8 billion in 2005, up 14.4 percent from $31.3 billion in 2005, according to iSuppli. This represents nearly 6 percentage points more revenue growth than the next-fastest growing company among the top-five suppliers, Texas Instruments Inc. (TI).

"Much attention has been focused on the market share gains that Advanced Micro Devices Inc. (AMD) of the United States has made in the PC microprocessor market at the expense of Intel. However, Intel's overall semiconductor revenue growth actually is expected to surpass AMD's projected rise of 11.8 percent this year," said Dale Ford, vice president, market intelligence for iSuppli.

Based on its quarterly semiconductor market-share research of the 100 leading semiconductor suppliers, iSuppli has increased its forecast for global chip revenue in 2005 to $237.3 billion, up 4.4 percent from $227.3 billion in 2004. iSuppli's previous forecast, issued in September, called for 2.4 percent growth in 2005.

Worldwide semiconductor growth exceeded expectations in the third quarter, rising by 4.5 percent from the same period in 2004, and by 9.3 percent from the second quarter of 2005. Based on projected company sales for the fourth quarter, iSuppli estimates that fourth-quarter revenue will grow by 5.3 percent sequentially.

For more information, please visit www.isuppli.com

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