Where is the worldwide semiconductor industry headed?

August 23, 2016 // By Graham Prophet
The market analysis firm Future Horizons will need no introduction for any long-term followers of the fortunes of the semiconductor industry. Headed by Malcom Penn, its reports and seminars have tracked and predicted the fortunes of the sector over many years. Next up in that continuing series is Future Horizons’ IFS2016 Mid-Term Semiconductor Market Outlook & Forecast.

This is a one-day presentation which will take place on Tuesday, 20th September 2016, in London. As always, Malcolm and colleagues will take stock of the recent performance of the industry, and will look ahead to what is likely to shape the coming months, quarters an beyond; and will project how environment will look for the chipmakers themselves; for their customers; and for suppliers to the semiconductor business.

This will the first such analysis since the UK’s vote to leave the EU; while that many have only a limited direct impact on semiconductor industry turnover, it may be seen as contributing to the climate of uncertainty and minimal growth that characterises Eurozone and associated economies. Future Horizons notes other political – or quasi-political – factors such as, “Traditionally the chip market grows strongly in a US presidential election year but 2016 seems likely to follow 2015’s no-growth performance. For the industry to thrive, it needs a strong and stable economy, something that has eluded the market since the 2007-8 financial crises. Economic uncertainty continues to dampen business confidence. Bad in itself, in times of uncertainty firms delay new investment, do not hire staff and push out decision making … all of which has an adverse impact on the semiconductor market.”