After Fast Start, Year's Global Chip Sales Rise Slowly
![Intel Corporation President and CEO Paul S. Otellini walks onto the stage to deliver his keynote address at the Oracle OpenWorld conference in San Francisco, California September 23, 2008.](https://d.medicaldaily.com/en/full/222388/intel-corporation-president-ceo-paul-s-otellini-walks-stage-deliver-his-keynote-address.jpg?w=460&f=fcb78303a8d1fcf78031e61d901b7ac2)
Research and advisory firm Gartner Inc. said Monday worldwide semiconductor revenue grew at just under 1 percent in 2011 as worries about the strength of the macroeconomy slowed equipment and semiconductor orders.
Preliminary estimates show revenue grew 0.9 percent from 2010, reaching $302 billion for the year.
"The industry did well in the early part of the year, in many cases entering the year with backlog from an exuberant 2010," said Stephan Ohr, semiconductor research director at Gartner.
Uncertainty about the state of the macroeconomy set in at the midpoint of the year, he said.
“Consumers held off purchases, and infrastructure expansion plans languished as governments resisted assuming more debt. Equipment inventories began to build as the year progressed, with resulting ripples throughout the semiconductor industry."
Intel held the top position for the 20th consecutive year, and 2011 marks Intel's highest-ever market share at 16.9 percent. The company purchased a wireless business unit from Infineon this year, accounting for $1.4 billion in revenue.
Samsung Electronics followed, with a revenue growth slightly above the industry average. The company provides the A5 processor for the iPhone 4s and iPad2.
Memory makers among the top 25 semiconductor suppliers — Hynix, Micron and Elpida — showed revenue declines as a consequence of DRAM price declines and loss of market share in the DRAM space.
Additional information is available in the Gartner report titled, "Market Share Analysis: Preliminary Total Semiconductor Revenue, Worldwide, 2011."