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Global semiconductor rev reaches $302 bn in 2011

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CIOL Bureau
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MUMBAI: Worldwide semiconductor revenues reached $302 billion in 2011, growing by merely 0.9 per cent over 2010, according to preliminary results announced by Gartner.

After a strong start to the year, worries about the strength of the macroeconomy slowed equipment and semiconductor orders in 2011, it said in a statement.

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"The industry did well in the early part of the year, in many cases entering the year with backlog from an exuberant 2010," Semiconductor research director at Gartner Stephan Ohr said in the statement.

He added that uncertainty about the state of the macro economy set in at the midpoint of the year.

Electronic chipmaker Intel has gained its highest-ever market share in the global semi- conductor business which grew by a per cent in 2011 over to 2010 to reach $302 billion from $299 billion, says Gartner.

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"Intel held the No. 1 position for the 20th consecutive year, and 2011 marks Intel's highest-ever market share at 16.9. per cent Its previous high was in 1998 when it commanded 16.3 per cent of the market," the report said

The company grew 21.6 per cent during the year to gain estimated revenue of $51,052 million compared to $41,998 in 2010.

In terms of market share, Korean electronic giant Samsung Electronics followed Intel with 9.7 per cent market share with growth of 3.7 per cent.

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"The strongest growth came from Samsung's relationship with Apple, where it is supplying the A5 processor used in the iPhone 4s and iPad2 media tablet," the report said.

Semiconductor company Texas Instruments stood at third position with 4 per cent market share with growth of 1.7 per cent.

Market share of companies such as Toshiba, Renesas Electronics, Qualcomm, STMicroelectronics and Hynix Semiconductor remained around 3 per cent.

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Riding on new communications technology wave of 4G and LTE, Qualcomm registered highest growth of 36 per cent.

Micron Technology and Broadcom gained market share of 2.5 per cent and 2.3 per cent, respectively.

"Consumers held off purchases, and infrastructure expansion plans languished as governments resisted assuming more debt. Equipment inventories began to build as the year progressed, with resulting ripples throughout the semi-conductor industry," Stephan Ohr added.

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