28 January 2011

GaAs device market grows 32% from $4.3bn to $4.9bn in 2010

Driven primarily by the rapid adoption of smartphones, gallium arsenide (GaAs) device market revenue grew more than 30% from 2009 to $4.9bn in 2010, according to a report from market research firm Strategy Analytics, which describes an acceleration that resulted in an upward revision of both the growth rate and the overall revenue for the GaAs device market.

The Strategy Analytics analysis estimates that, for leading GaAs component makers RF Micro Devices, Skyworks Solutions, TriQuint Semiconductors, Avago Technologies, Hittite and Anadigics, GaAs revenue grew between 24% and 52% in 2010. In addition, these firms saw a strong upward trend in quarterly revenues throughout the year.

“The rapid adoption of sophisticated multi-band, multi-mode smartphones is increasing the demand for GaAs power amplifiers, which is driving the entire GaAs device market,” notes Eric Higham, director of the Strategy Analytics GaAs and Compound Semiconductor Technologies Service.

“As 2010 progressed, the results of the major GaAs device suppliers were so strong that we knew the market was growing faster than originally anticipated,” adds Asif Anwar, director in the Strategy Analytics Strategic Technologies Practice.

The market research firm has hence increased its estimate of the 2010 GaAs device market growth rate from the 15–20% range to 32%, rising from slightly less than $4.3bn to almost $4.9bn.

Strategy Analytics believes that the adoption of smartphones and data-centric networks will also fuel faster than originally forecast growth in the GaAs market in 2011 and 2012. The report shows a revised forecast indicating that revenue will reach nearly $6.1bn in 2014.

See related items:

Handset shipments reach 400 million in Q4/2010

Smartphone sales grow 66% in 2010

GaAs device market to grow at 5% annually from $3.7bn in 2009 to $4.7bn in 2014

Tags: GaAs device market Smartphones

Visit: www.strategyanalytics.com