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4 October 2013

GaAs device revenue to grow from $5.3bn in 2012 to $6.1bn in 2017

A strong close to 2012 allowed the gallium arsenide device market to grow by about 2% to record revenue of slightly more than $5.3bn for the year, due mainly to the cellular segment, as most other segments for GaAs devices were flat or declined, according to Strategy Analytics’ report ‘GaAs Industry Forecast: 2012-2017’.

The report also forecasts above-average growth for the GaAs device market in the next two years, followed by slowing cellular demand that will pull the growth rate below historical averages. The result of these trends will be revenues slightly less than $6.1bn in 2017.

“The GaAs market closed 2012 with strong growth and we have seen a continuation of that trend so far in 2013,” notes Eric Higham, director of the Strategy Analytics GaAs and Compound Semiconductor Technologies Service (GaAs). “We anticipate 2013 and 2014 will see growth above historical averages as demand for cellular applications, particularly power amplifiers picks up. Unfortunately, we believe this will be short-lived as competitive technologies and new architectures combine to capture market share and slow the growth of GaAs devices,” he adds.

“Silicon-based technologies, particularly CMOS and the trend toward multi-band power amplifiers, will put a damper on the growth of GaAs device revenue,” says Asif Anwar, director in the Strategy Analytics Strategic Technologies Practice (STP).

The Strategy Analytics forecast segments the GaAs device market by application, device type, process, geography and frequency. The report also addresses results, trends and forecasts for the semi-insulating GaAs bulk substrate and semi-insulating GaAs epitaxial substrate markets that make up starting point for the GaAs device supply chain.

Tags: Strategy Analytics GaAs device market

Visit: www.strategyanalytics.com

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