Worldwide ASIC/SOC market to cross $54.6 billion by 2007

FEBRUARY 11--According to a soon-to-be-released report from Business Communications Company Inc. (www.bccresearch.com), From ASIC to SoC: A Paradigm Shift, the value of the worldwide ASIC/SoC market reached $21 billion in 2002. Projected to grow at an average annual growth rate of 21%, this market is likely to reach $54.7 billion by 2007. The collective revenue of this category will be almost 21% of the total semiconductor market, versus the 14% proportion today. It is, therefore, not surprising that the ASIC/SoC world is garnering a lot of attention in the new IC era.

The value of worldwide shipments of basic ASICs reached $10.9 billion by 2002, growing in value by 6.4% from the previous year. Overall, basic ASICs are expected to show a five-year AAGR of 10.8% to reach $18.2 billion in 2007. Basic ASICs consist of three primary areas 3/4 standard cells, gate arrays, and bipolar arrays. After a nondescript 2001, standard cell revenues stabilized in 2002. This category will continue to dominate the basic ASIC segment, growing, on average, by 12.6% over the course of the forecast period. Gate arrays are losing their grip on the ASIC market 3/4 revenues are taking a one-directional plunge. From 2002 to 2007, the segment will show an AAGR of around -3.3%. The story is even more dismal for bipolar arrays, a relatively smaller segment anyways.

The other prong of the traditional ASIC market is the PLD/FPGA category. Revenues for these devices decreased substantially in 2001, but the trend showed signs of reversing for this segment in 2002. Positive growth will begin this year, and will contribute to a five-year AAGR of 20.2%.

Worldwide shipments of SoCs totaled $6.2 billion in 2001, up 12% as compared to 2000. Needless to say, this is the hotspot of the ASIC/SoC future, as BCC expects a healthy growth over the forecast period. SoC revenues will display AAGR of 31.6%, totaling $30.2 billion in 2007.