According to research report, semiconductor revenue to reach US$358 billion in 2015, with a 5.4% increase from 2014 . The drop from 7.9% growth in 2014 will be due to a better supply/demand balance in DRAM. With short supply driving high prices, DRAM revenues grew 31.7% in 2014, and they are expected to grow 7.7% in 2015.
The whole semiconductor market continues to be driven by strong growth in smartphones, along with DRAM and NAND flash in ultramobiles and solid-state drives (SSDs), notes the research report. Meanwhile compute applications will continue to be the largest market for semiconductors, followed by wireless and consumer applications. Taken together smartphones, SSDs, and ultramobiles represent over 2/3rd of total semiconductor revenue and have the most influence on the overall strength of the semiconductor market.
The industrial electronics segment is expected to outperform overall semiconductor market growth and other electronic application categories with revenue growth of 9.1%. Growth will be driven by LED lighting applications for industrial and residential purposes. Following industrial applications, wireless applications will be the next biggest growth market for semiconductors in this year.