Continued growth: China's impact on the semiconductor industry — 2011 update

China continues to be the dominating consumer of semiconductors, enjoying a compounded annual growth rate of 24.8% since 2000. This exponential growth is a result of two driving factors: the ongoing transfer of worldwide electronic equipment production to China and the above-average semiconductor content of that equipment. The worldwide technology trend towards mobility will no doubt continue to fuel this growth.

This, our latest report on the Chinese semiconductor industry, uses a variety of industry statistics as well as executive interviews to examine in-depth the current status of the semiconductor industry in China. We look at geographical and product category demand, highlight shifts in the semiconductor value chain, and provide the probable success of three newly revised integrated circuit (IC) production growth scenarios.

Whether your company has operations in China, partners with Chinese companies or is focused on the Chinese consumer market, we include a number of specific recommend actions you can take to position your company for success in this dynamic market.


 
Title of publicationChina's overall dominance continues
Title of publicationImpact of China's 12th Five-Year-Plan on the semi industry
Title of publicationIncrease in IPOs, decrease in patents
Title of publicationMNCs retain leading position
Title of publicationGap between production and consumption is still growing
Title of publicationSemi sector performance varies
Title of publicationChina offers semi companies unparalleled growth opportunities
 

China's overall dominance continues

Impact of China's 12th Five-Year-Plan on the semi industry

Increase in IPOs, decrease in patents

MNCs retain leading position

Gap between production and consumption is still growing

Semi sector performance varies

China offers semi companies unparalleled growth opportunities


Preview some charts inside this report

Click on a figure below to see a full-size version

Figure
Worldwide semiconductor market by region, 2003-2010
Figure
China's semiconductor industry by sector, 2003-2010
Figure
China versus worldwide semiconductor IPOs, 2005-2010

Interesting observations from this report:


China's semiconductor market and industry grew to record levels in 2010, keeping pace with their worldwide counterparts.
The major global semiconductor companies continue to dominate the Chinese market. Eight multinational companies have been among the top ten semiconductor suppliers to the China market every year from 2003 through 2010.
IC design, the fastest growing segment of China's semiconductor industry for the past decade, is also the one segment of China's semiconductor industry that achieved positive year-over-year growth for every year of the past decade.
China has emerged as a significant source of new companies and, more recently, of financial funding for semiconductor start-ups.
China's annual IC consumption/production gap increased by more the $20 billion in 2010 to a new record level of $87.3 billion.