IHS: Intel’s semiconductor revenue share on the rise

With all of those iPads and ARM-powered handsets flooding the market, you might think Intel’s slice of global semiconductor sales is on a downward trend. Not so, according to the latest figures from IHS, which say Intel actually raked in a greater percentage of semiconductor revenue in 2011 than in 2010. Take a look:

Not only that, but IHS goes on to say Intel’s 15.6% revenue share is the highest the company has seen since “at least 2001.” (The company had a 14.9% piece of revenue at the time.) The higher share is purportedly due not just to greater demand for Intel’s processors, but also to the company’s success in flash memory and its purchase of Infineon’s Wireless Solutions business.

Intel’s success aside, IHS says 2011 was a “tough” year for the semiconductor market as a whole. Yearly growth was only 1.3%, about six points below the research firm’s original predictions, and only 53% of the semiconductor companies in IHS’s roster enjoyed any revenue growth at all.

Comments closed
    • blastdoor
    • 8 years ago

    “With all of those iPads and ARM-powered handsets flooding the market, you might think Intel’s slice of global semiconductor sales is on a downward trend. Not so, according to the latest figures from IHS, which say Intel actually raked in a greater percentage of semiconductor revenue in 2011 than in 2010. ”

    I wonder if some people are going to end up misinterpreting these numbers.

    It sounds like Intel is maintaining its position by expanding into non-x86 businesses (flash, communications). Nothing at all wrong with that — probably a good/necessary step for Intel. But often when people here “Intel” they think “x86”, and making that point about ARM makes people even more likely to think “x86”.

    Yet it’s not at all clear that Intel’s x86 business is unaffected by ARM competition.

      • NeelyCam
      • 8 years ago

      [quote<]Yet it's not at all clear that Intel's x86 business is unaffected by ARM competition.[/quote<] I'd say it's pretty safe to say that it is unaffected for now. In 2014->, that might change significantly. Then again, in 2014->, ARM business might be significantly affected by x86 competition as well. [quote<]Intel's success aside, IHS says 2011 was a "tough" year for the semiconductor market as a whole. Yearly growth was only 1.3%[/quote<] What I see in this table is that we can split the "semiconductor market" into five groups: high-performance chips (Intel, AMD), low-power/embedded chips (ARM licensees), graphics (AMD, nVidia), memory (Renesas, Hynix, Micron, Elpida), and "other". (Yes - I know AMD and Intel have some embedded offerings, but I'm talking about companies deriving serious revenue). The 'overall' market may look like it grew only 1.3%, but that doesn't tell the whole story. What happened is that chip market for Intel's CPU (server, desktop, laptop) and cell phone chips from ARM licensees saw healthy growth, but memory prices crashed, bringing the aggregate "semiconductor market growth" to near zero. So, I'd say "the memory market had an awful year, but the rest of the semiconductor market enjoyed a solid recovery"

    • Unknown-Error
    • 8 years ago

    * Intel keeps rolling. No stopping the Juggernaut!
    * Qualcomm has the 2nd biggest jump – 42% (Beginning to see why Intel actually calls them ‘competition’)
    * nVidia a respectable climb
    * And as usual AMD is flat. But I guess thats a good thing for them since its no longer a minus value compared to some of the others.

    and let the “thumbs down” reign! :p

    • jdaven
    • 8 years ago

    “With all of those iPads and ARM-powered handsets flooding the market, you might think Intel’s slice of global semiconductor sales is on a downward trend. Not…”

    Seeing as the silicon is split across many, many, many companies for both smartphones and tablets, this statement should be taken with some explanation. Intel enjoys higher margins for most of its chip sales whereas ARM based devices have much lower. This also flies in the face of the ARM monopoly rhetoric that some (cough, NeelyCam, cough) throw around this site. No company enjoys the high margins (60%+) and restrictive licensing (x86) that Intel possesses.

      • ImSpartacus
      • 8 years ago

      Don’t make personal attacks. People might be dorks, but don’t personally attack them.

      [url=http://youtu.be/RUFT35S7Jb4<]I wish I could bake a cake out of rainbows and smiles...[/url<]

        • StuG
        • 8 years ago

        Don’t listen to him! I’m the real Spartacus!!!

        • willmore
        • 8 years ago

        What personal attacks?

      • smilingcrow
      • 8 years ago

      “No company enjoys the high margins (60%+) and restrictive licensing (x86) that Intel possesses.”

      I wouldn’t bet against Apple beating that especially in the restrictive licensing department; zero is hard to beat.

        • NeelyCam
        • 8 years ago

        … And they are indeed enjoying high margins as well

    • NeelyCam
    • 8 years ago

    [quote<]Not only that, but IHS goes on to say Intel's 15.6% revenue share is the highest the company has seen since "at least 2011."[/quote<] 2011 -> 2001

      • Farting Bob
      • 8 years ago

      I was thinking “geez, its only march, not that impressive that its their best since 3 months ago!”

      • Cyril
      • 8 years ago

      Oops, yeah. Fixed.

Pin It on Pinterest

Share This