HindustanTimes.com

Tuesday, August 26, 2003

Semiconductor sector in Asia to expand 14% in 2003: Gartner

Agence France-Presse
Singapore, August 26

Asia's semiconductor market is projected to generate $67 billion worth of
sales in 2003, an increase of 14 per cent from a year ago, technology
research house Gartner said on Tuesday.

For 2004, the market will be worth $86 billion, US-based Gartner's principal
analyst for the region, Philip Koh, said.

"For the Asia Pacific itself, we are looking at close to 14 per cent growth
against 2002," Koh said at a media conference.

"Looking ahead, we are talking about more than 20 per cent in the year 2004
and 2005," he said.

The projected rise in sales in the region will be driven by buoyant demand
in China, South Korea and Taiwan, the three biggest semiconductor markets in
Asia, Koh said.

"The demand of semiconductor consumption, particularly in (the) three major
countries are really driving up the whole industry," Koh said.

"And of course China will still continue to lead... five years down the
road," Koh said at a news briefing.

Globally, the semiconductor market is expected to generate revenues of $173
billion in 2003, up 11 per cent from $156 billion in the previous year,
Gartner's vice president Richard Gordon said.

Despite the projected improvement, Gordon said there was still "healthy
skepticism" due to prevailing global economic uncertainties.

"There is turmoil in the world these days and businesses are being cautious
about spending on things like computer technology," Gordon said.
"So we have to be a little bit cautious about the end market here," he said.

© Hindustan Times Ltd. 2003.
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