Gartner is saying the semiconductor industry could have no growth this year, pointing to excess inventory, weak demand and over-capacity. It is forecasting 4.6% growth for 2012.
The gloomier forecast comes from macroeconomic conditions provoking a slowdown in consumer spending which accounts for 70% of all semiconductor revenues.
Gartner vp Bryan Lewis says Q3 guidance from semiconductor companies points to a flat-to-slightly-negative Q3 instead of the typical 8-9% growth in what is traditionally the industry’s strongest quarter.
DRAM is forecast to fall 26.6% this year, while ASIC and NAND are expected to grow 20%, says Gartner.
Next year’s growth will be driven by SSDs and Tablets, says Gartner, with the latter market growing at 250% in 2012.
