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SEMICONDUCTOR VENDORS supplying the industrial electronics market such as Texas Instruments, ST Microelectronics and Intel have all seen lower revenues.
According to industry analyst firm IHS Isuppli, the top eight semiconductor vendors to the industrial electronics industry were hit with falling revenues, with the firm calling it a "beleaguered" market. According to IHS Isuppli, Texas Instruments, ST Microelectronics, Infineon, Intel, Analog Devices, Renesas and Mitsubishi all reported lower revenues in 2012 from industrial electronics sales, while Maxim Integrated Products reported stagnant revenue.
Semiconductor vendors such as Texas Instruments and ST Microelectronics rely heavily on the industrial electronics market to sell high volume and high margin chips. However IHS Isuppli claims the market not only stopped growing but labeled the market "anemic" as it shrank 5.4 percent in 2012.
IHS Isuppli pegged Texas Instruments as the market share leader with $2.09bn in revenues, 6.6 percent down from 2011. ST Microelectronics and Infineon were pretty much neck and neck with revenues of $1.47bn and $1.46bn, respectively, while Intel revenues were $1.34bn.
Jacobo Carrasco-Heres, analyst for industrial electronics at IHS Isuppli said, "The industrial electronics semiconductor industry as a whole contracted 5.4 percent in 2012 following a slowdown in worldwide markets where the chips are used, such as in security, test and measurement, motor drives, metering, medical electronics and renewable energies.
"The anemic performance of these segments, in turn, dragged down the suppliers making the chips, resulting in 2012 revenue losses among the top [eight] that ranged from 0.7 percent to 20.4 percent."
Perhaps surprisingly, given its recent financial woes, Panasonic saw its revenue grow by 9.8 percent to $821m, with IHS Isuppli citing its chips in security cameras and medical equipment as the reason for the sales growth. µ
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