TSIA 2002 Statistics on Taiwan IC Industry
2003-03-18
TSIA 2002 Statistics on Taiwan IC Industry
March 18, 2003

After the severe downturn in 2001, the global IC industry was under recovery in 2002. Companies were conservative in IT spending due to the uncertainty of the global economy. Therefore, demand for upper and down stream electronic products was still weak. Overall, the global semiconductor industry grew 1.3% in 2002, a slightly increase against year 2001.

The TSIA year 2002 / fourth-quarter (Q4) 2002 survey showed that total revenue of the Taiwan IC industry (including design, manufacturing, packaging and testing) hit NT$652.9b in 2002, a 23.9% increase over prior year. Compared to year 2001, of all the revenue generated, the design sector amounted to NTD147.8b, a 21.1% growth; manufacturing sector reached NTD378.5b, a 25.1% increase; packaging sector (domestic and foreign-invested) generated NTD94.8b, a 23% rise (revenue of domestic packaging was NT$78.8b, a 19.4% increase); and testing sector created NTD31.8b, a 25.7% growth. Each sector has a more than 20% growth in 2002. Compared with the 1.3% growth of the global semiconductor market, Taiwan IC makers outperformed in 2002.

Information-related chips accounted for 60% to 70% of Taiwan fabless products. PC chipsets and PC-related peripheral chips are the two main contributors. Driven by the demand of the downstream products, revenue of the chipmakers of DVD player chipsets, LCD driver and control chips increased. Demand of Consumer ICs was growing slightly. With respect to the niche memory products, demand did not grow and price was still unsteady. Revenue of the IC design sector in 2002 was NTD 147.8b, an increase of 21.1% from year 2001.

Benefited from the increased orders from domestic and foreign fabless companies and IDMs, the order volumes, production and utilization rates of the foundries increased. Part of the foundry revenue was from the companies that had been turning from memory business to foundry. Sales of the foundry sector achieved NTD246.7b, a 20.4% increase from year 2001. With respect to the memory products, another main business of the manufacturing sector, price of SDRAM kept on declining and that of DDR DRAM was getting higher due to the growing effect of the main standard shifting from SDRAM to DDR DRAM and the relatively short supply of DDR DRAM. In addition, non-volatile memory and some niche memory products were also contributors. Revenue of the memory products grew more than 40% in 2002. The total revenue of the manufacturing sector reached NT$378.5b, a 25.1% increase against year 2001.

Some foreign IDMs closed their overseas product lines of packaging and testing in 2002. Benefited from the capacity outsourcing from these IDMs, orders of Taiwan high-end packaging increased. Other contributors to the packaging revenue include consumer IC products that utilized the capacity of the middle- and low-end packaging, the 27% revenue growth of the indigenous IC revenue (design + manufacturing - foundry), and the orders of DRAM and flash packaging. Total packaging revenue (domestic and foreign packaging) reached NT$94.8b, a 23% increase over year 2001.

Memory products accounted for 50% of all the testing products. The price up of DRAM improved the order conditions of companies in DRAM testing a bit. Orders from domestic consumer IC design companies, foreign flash memory makers, logic chip testing and mix-signal testing companies were all the contributors to the testing revenue. Revenue of the IC testing sector totaled NTD31.8b, a 25.7% growth against year 2001.

【News Contact: Dior Chen Tel:+886-3-5913560, Fax: +886-3-5820056 email: dior@tsia.org.tw】