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Showing posts tagged 'semiconductor industry'

10 August 2021

Passive and Interconnecting Electronic Components market to display lucrative growth


The passive and interconnecting electronic components market is predicted to display lucrative growth across all regions over 2020-2025, with North America the dominant market due to the prominence of players in the country.

These predictions come from The Passive and Interconnecting Electronic Components market report from Market Study Report, which you can request a sample of here. The report delivers a rigorous analysis of the market, examining the main growth drivers and restraints, as well as opportunities for revenue cycles.

The passive and IEC markets are forecasted to experience a CAGR (compound annual growth rate) of 3.1% from 2020-2025, with the US market expected to reach $32.3 billion by 2025, up from $28.6 billion in 2020.

Key players in the industry include:

  • ABB
  • API Technologies
  • AVX Corporation
  • ST Microelectronics
  • 3M Electronics
  • Fujitsu Component
  • American Electronic Components
  • Hamlin
  • Eaton Corp.
  • Datronix Holding Ltd

As the world gets smarter and demand for passive and interconnecting electronic components increases, small players will also take a bigger role. Trade barriers caused by geography will need to be overcome to meet demand, fuelling an explosion in growth across all developed markets, from Europe to Asia Pacific.

What is fuelling growth?

While the report provides in-depth analysis of factors that will fuel growth, we don’t want to tread on its toes, so we’ll provide a simpler analysis.

The reason the passive and interconnecting electronic component markets are going to experience significant growth over the next several years is because of industry tailwinds and technological advancement. Given today’s technological innovation, it’s no wonder that demand for all types of electronic component is soaring.

Disruptive new technologies, rapid advancement in existing technologies and the adoption of smarter, more connected devices, is fuelling unprecedented demand for everything from passive components to chips.

For example, in 2021, manufacturing of passive components could see an 11% increase, but demand is likely to exceed 15%.

Making supply meet demand

There has been a lot of talk about how the next great technological cycle will fuel growth for the semiconductor industry, but it’s important to recognise that chips are nothing but silicon and metal without other components like passives and IECs.

While supply for some components like display drivers is ticking along, there is a global shortage for other components like active, passive and electro-mechanical components, putting manufacturers in a compromised position.

The shortage for some IECs and passive components is expected to last several years, so making supply meet demand will be a challenge in the near future.

To make supply meet demand, suppliers and manufacturers will need to partner with well-connected distributors. Electronic component distributors are the best-connected players in the supply chain, linking sellers with buyers and vice versa.

Sourcing and allocating shortage electronic components is something that we specialise in at Cyclops. We help source components that are impossible to find, helping to keep supply chains moving and manufacturing plants going.

With the passive and interconnecting electronic components market set to soar, planning is essential to make supply meet demand and capitalise on growth.

Tags: passive components electronic components trade barriers interconnecting electronic components rapid advancement passive components electronic chips semiconductor industry iecs

02 September 2015

Will the M and As affect you?

A lot has been said on the effect of M&As on the companies involved and other semiconductor manufacturers, but what about the effect on the supply chain as a whole? How will the recent spate of M&As impact buyers, dealers and OEMs?

The flurry of M&A activity which took place towards the beginning of the year was unprecedented. The value alone is something quite remarkable – just the announcements made already this year are worth about 6 times the annual average of M&As over the last 10 years!

There are numerous reasons for the acquisitions which have taken place or are due to, including a weak Euro and Yen leading to a lower projected growth for 2016. IC Insights have reduced their forecast from 7% to 2% YOY and research firm Gartner have reduced growth from 4.1% to 2.5% for the next quarter. Understandably the financial issues are a big reason for the M&As, but another big reason is to fill product gaps.

With the advent of IoT, companies are needing to expand their capabilities, and rather than starting new products from scratch, it’s much easier (if you can afford it!) to buy an existing company that already has the skills, equipment and technology needed.

This is where things can become tricky for buyers. After an acquisition relationships may change – they may not have dealt with the company taking over, or had a better relationship with one company than the other. How buyers and suppliers view the new company will affect a lot of things. Are they still first choice or has the M&A pushed someone else out of favour? This can lead to confusion and even hold ups in the supply chain. When your component supplier has a strong purchasing team who have good relationships with a wide selection of manufacturers and distributors, these M&As shouldn’t cause you too much difficulty – in fact you shouldn’t even notice things have changed.

Here at Cyclops, our purchasing department is highly skilled and trained to a very high standard – as such they will work tirelessly and not let industry changes affect your orders. Give them a go by placing your RFQ today!

Tags: mergers acquisitions m and as semiconductor industry

14 August 2015

Intel and Samsung - Who's winning?

Are Intel’s days at the top coming to an end?

Distance has dropped between Samsung and Intel in the official semiconductor figure results from IC Insights– in the 2nd quarter

Samsung have risen 10% between Q1 and Q2 2015 to a rather impressive $10.3 billion. Intel are only up 3% to $11.9 billion so the race is on to see if Intel can keep holding onto that top spot.

Samsung have managed to move to DRAM and NAND Flash which are more readily used in smartphones. The rapid and increasing growth of the smartphone market, particularly in emerging markets, means Samsung made a very smart decision in choosing to focus on memory chips. Intel, on the other hand, has remained focused on PC/laptops which is why their own growth is quite limited this quarter.

Although Intel and Samsung have had rises in the last quarter, the rest of the top 5 have declined. Particularly significant is

Qualcomm’s decline of 13% and is looking at posting a semiconductor sales decline of 20% in the 2015 calendar year. They are still at number 5 on the Q214 rankings but it isn’t looking great for this American company.

As well as the 10% rise this quarter, Samsung have also posted a record high in their quarterly chip sales of 11.29 trillion won. The rest of the top 20 aren’t really a surprise – and it did take over $2.2 billion in sales just to get into the top 20!

Tags: samsung intel semiconductor industry

10 August 2015

Wize Mirror

Mirror Mirror on the wall who’s the healthiest one of all....

A magic mirror could exist out of the world of Fairy Tales with the power to tell you how healthy you are. Okay, so maybe it’s not quite magic, rather a combination of sophisticated sensors, cameras and scanners which have been put together by a group of scientists from across Europe.

The Wize Mirror will be able to check for signs of stress and anxiety, look for weight loss or weight gain and even utilise gas sensors to take breath samples to show how much you have been smoking and drinking. There are also multispectral cameras to estimate heart rate and haemoglobin levels.

The mirror will then give you an on screen daily health score and personalised advice on how to improve your health. This is a great example of how healthcare and technology can come together in such a simple idea to help improve health and well being.

Developed by a consortium of researchers and industry partners from across 7 EU countries, the Wize Mirror is to be used as a preventative device to reduce metabolic and cardiovascular related diseases. Clinical trials are due to begin next year!

Tags: semiconductor industry innovations wize mirror

21 July 2015

World events impact semiconductor market

The instability of the Eurozone and the weakness in the Yen has impacted a number of industries, now it is the tech industries turn to take a hit. There is a lower projected growth for the semiconductor industry according to research firm Gartner. While there is still growth in capital spending predicted at 2.5%, this is down from the 4.1% growth predicted in the previous quarter’s forecast.

Gartner cited the weaknesses in the Euro and Yen have contributed to their reduction in the growth prediction: “With over half of all equipment being produced by either Japanese or European suppliers, the weakness in their currencies has been the primary factor in reducing our overall outlook for 2015,” Bob Johnson, research vice president at Gartner said about their projections.

The dip in PC and smartphone sales has also made an impact on the semiconductor sales. The semiconductor market can be used as a performance indicator for the rest of the tech industry in general. This is because components and hardware are used in so many different areas including PCs, televisions and even military grade applications. The consumers of the electrical products have a huge impact on the semiconductor industry – if they don’t buy products, semiconductors just aren’t needed.

It isn’t all bad news though, there is still a growth predicted, even if it is slightly smaller than initially thought, and the predictions further into the future look very promising for the industry. There is a 2.8% growth predicted for 2017 and a rather nice 5.2% increase in 2018. As the internet of things market grows and memory continues to expand, the semiconductor market will follow.

Source: Blouin News

Tags: semiconductor industry gartner

09 July 2015

Latest Semiconductor Sales

Global semiconductor sales for May have just been released from the Semiconductor Industry Association (SIA) Worldwide the figures paint a great picture – the industry was up 5.1% year on year rising to an impressive $28.2 billion!

Global sales for May 2015 were also up on April 2015 by 2.1%. However that figure isn’t reflected across all markets. While the Americas have increased by 11.4%, Europe’s year on year sales are down by -7.8%. Compared to April they have also dropped by -0.6%.

The 1st quarter sales for Europe were more promising as the area was up 2.7%. Hopefully the industry will continue to grow as a whole and Europe will be able to catch up soon. Keep up to date with what’s happening in the industry by following us on Twitter, subscribing to the blog or connecting on LinkedIn.

Tags: semiconductor industry association semiconductor sales

25 June 2015

Texas Instruments Acquisition

Are Texas Instruments next in line for a big acquisition?

Will Texas Instruments be next in line to take on a huge acquisition? It’s no secret they have been after something new for a while. They made a bid on Freescale but were beaten to it by NXP, and TI tried to purchase Maxim but this didn’t work out as Maxim pulled out and decided not to sell after all. TI’s main competitors Intel, NXP and Avago have each had high profile acquisitions worth billions of dollars this year alone.

Texas may be feeling the pressure now, knowing that their peers are one step ahead of them. With the company worth $56 billion, and a desire to expand its share in the analog market, the right deal could see TI expanding their manufacturing and seeing a healthy increase in profits. The last big acquisition for TI was the purchase of National Semiconductor back in 2011. But, the company are very particular about what kind of company they purchase; the target company must be an analog chipmaker and the deal must provide a strong rate of return. TI is in a good position and has already evolved the company almost beyond recognition of where they were in the 1990s. The focus on analog, and particularly on digital will serve them well and can allow them to be fussier than some of their main competitors.

We’ll keep you up to date with any updates regarding Texas Instruments, or any other acquisitions that occur! And don’t forget you can search and order all Texas Instruments’ parts direct from Cyclops Electronics.

Tags: texas instruments acquisitions semiconductor industry

06 May 2015

1st Quarter Results 2015

More great news for the semiconductor industry which is up 6% compared to the same period last year. 

The Semiconductor Industry Association announced that sales reached $83.1 billion in the first quarter of 2015 with global sales for March 2015 reaching $27.7 billion.

All regions performed well this month, particularly the Americas who posted double digit, year to year growth for the sixth month straight! A huge14.2% growth compared to March last year.

Compared to the previous month each region (apart from the Americas grew):

  • Europe up 2.7%
  • Asia up 3.1%
  • China up 1.0%
  • Americas down 6.9%

Interestingly, this is the first time China has been put as a separate country in the sales data showing the country's increasing growth and significance in the industry.

“Despite macroeconomic challenges, first quarter global semiconductor sales are higher than they were last year, which was a record year for semiconductor revenue,” said John Neuffer, president and CEO, Semiconductor Industry Association.

The overall figures are very good and indicate a positive 2015 for the semiconductor industry!

Keep up to date with what's happening in the industry by following us on Twitter or connecting on LinkedIn.

Tags: semiconductor industry association semiconductors

16 April 2015

Fabulous results for semiconductor companies

The official sales results for the semiconductor industry are in and they are exceptionally great.
The total overall sales for 2014 is $340.3 billion, which has risen 7.9% from 2013!

 What is interesting, and even more good news, is that all device categories have seen some growth, not just a handful as occurred over the last few years. The memory market is still performing the best overall as it has grown 16.6%.

Intel are still top dog as they retain the number one market share position – and this is for an impressive 23 years in a row! Not only do they possess a 15.4% share of the overall market, they have grown 7.7% from 2013. Even with PC sales declining, Intel have still managed to perform incredibly. Samsung are chasing them down though, sticking in second place with a 10.2% share of the market. Having achieved some good sales with their own Galaxy smartphones and the excellent partnerships with Apple and Nvidia, they have managed to grow significantly more than Intel with a growth of 13.4%

The figures for the industry as a whole are heading in the right direction and this is fantastic news for every one of us in the semiconductor industry!

For a more in depth look at these results from Gartner, check out their report on their website here:

Keep up with all the news in our successful industry by subscribing to our blog, following us on Twitter or connecting on LinkedIn!

Tags: semiconductor industry sales results

01 February 2015

New Year

The semiconductor industry looks set for an impressive growth this year with the market on track to achieve a 9.4% expansion. With an estimated revenue of $353.2 billion, this is the highest rate of annual growth since 2010!

The report from IHS Technology believes the reason for this vast growth is due to the broad based nature of market expansion. Rather than just a few specific sectors doing well, 2014 saw a wider increase across the industry as a whole.

“While the upswing in 2013 was almost entirely driven by growth in a few specific memory segments, the rise in 2014 is built on a widespread increase in demand.” said Dale Ford, vice president and chief analyst at IHS Technology.

A further report from MIDF Equities Research found that global semiconductor sales rose 9.1% and has consistently outpaced itself for the 19th consecutive month. MIDF Research said this growth was due to the increased demand for smartphones, particularly in the emerging markets. This, combined with the growing popularity of wearable technology will only further help to boost the semiconductor industry as a whole. And that is never a bad thing!

Keep up to date with how the industry performs for the rest of the year by following us on Twitter, liking us on Facebook and connecting on Google+

Tags: semiconductor industry ihs midf wearable technology

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