Worldwide Semiconductor Revenue Declined 1.9 Percent in 2015

Worldwide semiconductor revenue totaled $333.7 billion in 2015, a 1.9 percent decrease from 2014 revenue of $340.3 billion, according to preliminary results by Gartner, Inc. The top 25 semiconductor vendors' combined revenue increased 0.2 percent, which was more than the overall industry's growth. The top 25 vendors accounted for 73.2 percent of total market revenue, up from 71.7 percent in 2014.

"Weakened demand for key electronic equipment, the continuing impact of the strong dollar in some regions and elevated inventory are to blame for the decline in the market in 2015," said Sergis Mushell, research director at Gartner. "In contrast to 2014, which saw revenue growth in all key device categories, 2015 saw mixed performance with optoelectronics, nonoptical sensors, analog and ASIC all reporting revenue growth while the rest of the market saw declines. Strongest growth was from the ASIC segment with growth of 2.4 percent due to demand from Apple, followed by analog and nonoptical sensors with 1.9 percent and 1.6 percent growth, respectively. Memory, the most volatile segment of the semiconductor industry, saw revenue decline by 0.6 percent, with DRAM experiencing negative growth and NAND flash experiencing growth."

Intel recorded a 1.2 percent revenue decline, due to falls in PC shipments (see Table 1). However, it retained the No. 1 market share position for the 24th year in a row with 15.5 percent market share. Samsung's memory business helped drive growth of 11.8 percent in 2015, and the company maintained the No. 2 spot with 11.6 percent market share.

Table 1. Top 10 Semiconductor Vendors by Revenue, Worldwide, 2015 (Millions of Dollars)
Rank 2015
Vendor
2014 Revenue
2015 Estimated Revenue
2014-2015 Growth (%)
2015 Market Share (%)
1
1
Intel
52,331
51,709
-1.2
15.5
2
2
Samsung Electronics
34,742
38,855
11.8
11.6
5
3
SK Hynix
15,997
16,494
3.1
4.9
3
4
Qualcomm
19,291
15,936
-17.4
4.8
4
5
Micron Technology
16,278
14,448
-11.2
4.3
6
6
Texas Instruments
11,538
11,533
0.0
3.5
7
7
Toshiba
10,665
9,622
-9.8
2.9
8
8
Broadcom
8,428
8,419
-0.1
2.5
9
9
STMicroelectronics
7,376
6,890
-6.6
2.1
12
10
Infineon Technologies
5,693
6,630
16.5
2.0

Others
157,992
153,182
-3.0
41.2


Total
340,331
333,718
-1.9
100
Source: Gartner (January 2016)

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