Gartner Revises Semiconductor Forecast Upwards

Global semiconductor revenue is on track to reach $338 billion this year, a 7.2% increase from last year, says Gartner. The figure also represents a climb from Gartner’s forecast in Q3’14 of 6.7% annual growth. Preparation for the Christmas shopping period put semiconductor revenues at an all-time high in Q3.

There will be “a flood” of new product introductions before the end of the year, said Gartner research director Jon Erensen. Not all device types will sell through the holiday season. However, Gartner expects overall unit production of smartphones to rise 27% this year, and ultramobiles 18.9%.

Next year, semiconductor growth will stand at 5.8%. High inventories in Q1 will be ‘the largest concern’.