Today, everybody in the semiconductor industry is aware of the substantial influence of the consumer. Behavior of end consumers in turn heavily influences the performance of the overall economy, which statistically is measured in the GDP. Recently IC Insights published a bulletin, which describes their findings examining the worldwide GDP growth and its impact on the 2016 IC market growth.
For the period from 2010 to 2015, IC Insights derives a remarkable correlation of 0.92 between the worldwide GDP growth and the IC market growth. Keep in mind that 1.0 would be a perfect correlation. If the correlation was relatively weak or even negative, IC Insights believes that the ongoing consolidation in the maturing IC manufacturer and supplier market together with other changes (e.g. a strong movement to the fab-lite model and a declining capex/sales ratio) would lead to a less volatile market.
With forecasted annual worldwide GDP growth rates that range from 2.7% to 3.1% over the next five years, IC Insights’ IC market growth rate expectations mirror the narrow range of worldwide GDP growth.
Read the full IC Insights bulletin “New 2016 McClean Report examines worldwide GDP growth and its impact on 2016 IC market growth” here: