Semiconductor Industry Reports Growth in Consumer Product Sales

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August 2, 2005 - Sales of semiconductor chips rose 6.5 percent for the first six months of the year, compared to the same period last year, according to a report released by the Semiconductor Industry Association. The SIA projected strong sales to continue in the second half of the year despite a 0.5 percent drop in sales in June to $18 billion, when compared to May.

"The nominal decline in global semiconductor sales in June was caused in part by inventory adjustments in the distribution channel and price attrition in DRAMs," said SIA President George Scalise.

Most major end markets for semiconductors – including digital cameras, personal computers and cellular phones – showed strong sales in the second quarter, the SIA reported.

Worldwide sales of semiconductor chips were over $100 billion for the first half of 2005, however sales in the second quarter declined 2.1 percent to $53.9 billion from $55.1 billion in the first quarter.

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