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Asian consumption of semiconductors expected to exceed $200 billion by 2010

September 1, 2006

Annual semiconductor consumption in the booming Asian market will jump from $136.5 billion in 2005 to $203 billion in 2010, reports market researcher In-Stat in Scottsdale, Ariz.

After the 2001 economic downturn in the semiconductor market, most of the electronic manufacturing from the U.S. and Europe shifted to low-cost regions in Asia. The migration of manufacturing converted Asia into the largest manufacturing base for electronics today, analysts say.

“The computing segment is the largest application segment for semiconductor consumption in Asia, while the communications and consumer applications are the fastest-growing segments for the Asian semiconductor market,” says Prakash Vaswani, In-Stat analyst. “Increasing demand for mobile phones, telecom infrastructures, digital TVs, DVD players, and digital audio will fuel the market.”

In a report entitled “Semiconductor Consumption by Major Applications in Asia: Focus on China and India” (IN0602727ASM) In-Stat analysts found that China is the largest market for semiconductors not only in Asia, but globally. Other Asian countries such as India and Thailand are growing rapidly, but still have a long way to go before they can come anywhere near China.

Asia’s semiconductor consumption is expected to increase from close to 60 percent of the total global semiconductor demand in 2005 to 66 percent by 2010.

In-Stat’s research covers the semiconductor consumption market of different countries in Asia, including Japan. The main focus is on China and India-two of the fastest-growing economies in Asia-both of which have a large appetite for electronics. The report includes semiconductor consumption forecasts by industry through 2010.

For more information contact In-Stat online at www.in-stat.com.

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