The Expected Growth of Cellphone IC Sales in 2017
Cellphone IC (Integrated Circuits) sales are set to experience an unprecedented sales growth following the recent slump of tablet and PC IC sales this 2017, according to the latest IC Market Drivers Report.
The growth of integrated circuit revenue for mobile is expected to grow up to 16 percent to $84.4 billion USD, while integrated circuits for tablets, laptop and desktop PCs are still expected to reach up 9 percent to $80.1 billion USD, as stated in the report.
All in all, sales for PC and cellphone systems are up this year because of strong spending in terms of memory. NAND Flash and DRAM are expected to rise up to 28 percent and 53 percent, respectively for the year 2017.
The total IC sales for mobile handsets grew up to 2 percent in 2016, while IC sales for PCs rose to only 1 percent in 2016. IC sales for cellphones are expected to rise up to 5 percent following the demand and the need for faster handsets that have more computing power.
The slowing down of sales for computer-based ICs allowed cellphone IC sales to finally surpass its standard PC counterparts in 2013. Integrated circuits for smartphones almost caught up with the total IC sales for all personal computing systems in the years 2015 and 2016. This year, integrated circuit revenue for cell phones are expected to surpass PC IC sales and hold the title of being the largest end-use system for the IC sales category. Moreover, the gap between IC sales for mobile and PC systems is expected to grow within the decade.
A compound annual growth average pegs the increase of cellphone ICs at 5.3 percent within the 2015 to 2020 forecast period to a max revenue at $92.1 billion as compared to the compound annual growth average of personal computing IC sales at 2.9 percent to a max of $83.8 billion by the year 2020.
A refreshed forecast shows PC IC sales climbing to a respectable 11.2 percent to $67.5 billion in the year 2017. Tablets are forecast to decrease to 2 percent to $11.8 billion, while cloud-concentric computing systems and thin-client platforms are set to rise a good 15 percent to $838 million this year. Between 2015 to 2020, the total IC sales for personal computing systems is expected to have a CAGR growth of 4.1 percent to $71.6 billion in the final year. Tablet integrated circuits are expected to decline to about 3.9 percent to $11 billion, while cloud-based IC sales are expected to leap up 13.8 percent to approximately $1.1 billion.