WASHINGTON (AP) -- The Semiconductor Industry Association predicted Thursday that global chip sales will rise 33 percent this year to $300.5 billion and 6 percent next year to $318.7 billion, as demand climbs for all sorts of electronics that use chips.
Consumer PC demand has been weak this year, but demand for corporate servers has been strong. Some signs have indicated that consumers are now shopping more for PCs, but the market remains subdued.
The industry group's forecast also calls for growth of more than 3 percent in 2012 to $329.7 billion.
Recent earnings results from multiple giants in the industry prove continued growth is on the horizon. Last month Intel Corp., the world's biggest maker of microprocessors, said its third-quarter net income leaped 59 percent and revenue rose 18 percent. The results topped analysts' expectations and showed that economic jitters didn't ruin consumers' appetite for new computers during the back-to-school crush. Microsoft Corp. posted better-than-expected quarterly profit, thanks to a swell of spending by businesses on new computers, software and servers.
Texas Instruments Inc. posted a 60 percent surge in profit as it continued to satisfy pent-up demand after the recession, though it did caution that it expects things to cool down for the rest of the year due to tepid consumer demand. Meanwhile, Qualcomm Inc., the developer of chips and technology for cell phones, said Wednesday that its results for the latest quarter blew past expectations on strong sales of components for smart phones. The company also forecast results well above expectations for the current quarter.
Consumer PC demand has been weak this year, but demand for corporate servers has been strong. Some signs have indicated that consumers are now shopping more for PCs, but the market remains subdued.
The industry group's forecast also calls for growth of more than 3 percent in 2012 to $329.7 billion.
Recent earnings results from multiple giants in the industry prove continued growth is on the horizon. Last month Intel Corp., the world's biggest maker of microprocessors, said its third-quarter net income leaped 59 percent and revenue rose 18 percent. The results topped analysts' expectations and showed that economic jitters didn't ruin consumers' appetite for new computers during the back-to-school crush. Microsoft Corp. posted better-than-expected quarterly profit, thanks to a swell of spending by businesses on new computers, software and servers.
Texas Instruments Inc. posted a 60 percent surge in profit as it continued to satisfy pent-up demand after the recession, though it did caution that it expects things to cool down for the rest of the year due to tepid consumer demand. Meanwhile, Qualcomm Inc., the developer of chips and technology for cell phones, said Wednesday that its results for the latest quarter blew past expectations on strong sales of components for smart phones. The company also forecast results well above expectations for the current quarter.
