1997 World Chip Sales Total $137.2 Billion

Staff -- Semiconductor International, 4/1/1998

The Semiconductor Industry Association (SIA, San Jose, Calif.) reported that world semiconductor sales hit $11.48 billion in December, carrying the industry to a year-end total of $137.2 billion, the second highest mark in history. December sales were 4.5% higher than December 1996. Total sales for 1997 represent a 4% increase over 1996 sales.

"The world's appetite for new technology increased throughout 1997," said SIA President George Scalise. "Semiconductor sales would be even stronger if not for the continuing depression in DRAM prices and the economic uncertainties in several Asian markets."

With one major exception -- Japan -- 1997 sales were up in all major markets. Sales increased 7.4% in the America's market, 9.9% in Asia/Pacific and 5.5% in Europe. Sales in the Japanese market in 1997 were 6.1% below 1996 sales.

Global chip sales have increased dramatically during the 1990s. From $50 billion in 1990, sales jumped to a record $144 billion in 1995. While capping off a year of single-digit growth, December's sales represent a 5.2% monthly decline from November, when sales hit a high for the year at $12.11 billion. December sales dipped in all markets: 4.3% in the America's market, 4.5% in Europe, 5.5% in Asia/Pacific and 6.9% in Japan.