In early December 2006, AMD hit an important milestone: it became part of the world's top 10 semiconductor companies. AMD earned the position as a result of its buyout of ATI, which placed it in the number seven spot, sandwiched between Renesas Technology in sixth place and Hynix in eighth place. AMD had been in 15th place the year before.
However, market research firm iSuppli now predicts that AMD will slip out of the top 10 by the end of 2007. AMD's share is expected to dip from 2.9% to 2.1%, kicking it into 11th place behind Infineon and NXP. According to iSuppli, AMD will have the biggest revenue decline of the top 20 semiconductor firms for 2007: 22.8%. As for Intel, iSuppli believes the semiconductor giant will conserve its number-one spot, with its share of the world semiconductor market to climb 0.4 points to 12.5% and its revenue to grow a healthy 7.7%.
Meanwhile, iSuppli expects Samsung to remain in second place with 7.4% market share, Toshiba to take Texas Instruments' place as number three, STMicroelectrics to stay fifth, Hynix to go from seventh to sixth, and Renesas Technology to take AMD's old spot as seventh. The research firm also predicts that Sony will go from 14th to eighth thanks to sales of its PlayStation 3 console.