This Week; Chip markets pick up, ARM shares quiver, CMOS keeps on keepin’-on

February 07, 2014 // By Graham Prophet
Analysts IHS report that the industrial electronic chip market turned around in 2013 with double-digit growth.

The worldwide market for industrial electronics semiconductors ended 2013 on a strong upbeat note, with overall revenue up convincingly from the previous year and reversing the disappointing decline of 2012, according to a new report from IHS Technology .

Global industrial electronics chip revenue for 2013 amounted to $33.7 billion, an 11% rise from $30.4 billion in 2012. After final figures are confirmed for the fourth quarter, the double-digit increase expected in 2013 will show that the market recovered from the 5% loss of 2012. Growth will continue in the next few years, and industrial-related semiconductor revenue will reach some $45.0 billion by 2018, as predicted in the graph.

“The market’s persuasive bounce-back is due to a strengthening global economy, coupled with higher purchasing confidence across all geographical regions,” said Robbie Galoso, principal analyst for industrial electronics at IHS. “While the field may not sound as sexy or attention-grabbing as some of the more popular markets around, like wireless or consumer, there is no underestimating the power or sheer breadth of its applications, ranging from home automation to the medical field, to energy, to aeronautics and military purposes, and much more.” Overall, the turnaround for the year sets the stage for a robust 2014, Galoso said, with annual revenue forecast to grow 9 percent to $36.8 billion.

IHS authors add that, “Even a beleaguered Europe, still disentangling itself from the recent financial turmoil, was a happy contributor, with 13 of its countries figuring among the top 20 global industrial electronics markets. Those nations included the likes of Germany, France, Switzerland, Sweden, Italy and Finland.”

Elsewhere This Week;

ARM shares took a hit after the firm reported its latest results, which reflected some backing-off of demand from the high-end Smartphone sector, which led the investor community to take fright. By Friday, however, the shares had largely recovered the lost ground, perhaps because the investor community read as far as the bit