The averaged sales data for June – the average of June, May and April – is a proxy for 2Q20 sales.
In essence the overall market is stable with slight growth year-on-year but the Americas market – predominantly the US – is booming due to demand for chips for data centers. In contrast Europe is moving rapidly from a minor decline to a major one due to Europe's exposure to automotive and industrial electronics, which have both suffered from the imposition of lockdowns.
The other geographic regions show more modest movement with a minor year-on-year changes although the general impact of the pandemic on global economies looks set to weigh heavily on the 2H20.
Comparing the 2Q20 with 1Q20 the European chip market fell by 19.9 percent while the US achieved sequential growth of 3.1 percent.
China, which suffered during the 1Q20, was able to achieve 6.6 percent sequential growth in 2Q20. This indicates a V-shaped recovery in the Chinese semiconductor market. Unfortunately, it is not clear the general economy will do as well in recovery.
The global three-month average of chip sales in June was $34.53 billion, up 5.1 percent year-on-year. The year-on-year growth has been steadily falling through most of 2020.
Three-month average of chip sales by geographic region for June and May 2020. Source: SIA/WSTS.
"Second-quarter semiconductor sales were roughly flat compared to the first quarter, and the global industry continues to post year-to-year sales increases, but significant uncertainty remains for the second half of the year due to ongoing macroeconomic headwinds,” said John Neuffer, CEO of SIA, in a statement.
Monthly data is given by the SIA as a three-month average although the source of the data, the WSTS, tracks actual monthly data. The SIA and other regional semiconductor industry bodies opt to use averaged data because it evens out the actual data that typically shows troughs at the beginnings of quarters and peaks at the ends of quarters.
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