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Chip Sales Ticked Up in January, SIA Reports

The semiconductor industry started out the year on a good note, posting a modest 0.3 percent increase in January over the previous month. But compared with the same month last year, January sales were up an impressive 47.2 percent.

Hardware Central takes a look at the latest IT spending numbers in the semiconductor sector.

Semiconductor sales ended on the upside in January, albeit to a very slight degree. The Semiconductor Industry Association (SIA) reported that January sales posted a 0.3 percent rise over December when most industry pundits were expecting a loss.

Sales for the month of January hit $22.5 billion, up from $22.43 billion in December. When compared with January of last year, when the industry was hit with a sudden downturn, the numbers become far more impressive. January 2009 sales were just $15.28 billion, so last month's sales rose a remarkable 47.2 percent.

The global market was carried by the Asia/Pacific region, which is big enough to offset the seasonal losses in the rest of the world. Most of the tech markets take a breather post-Christmas, so a seasonal dip was expected.

Sales in the Americas were off 1.9 percent while Europe slipped 0.3 percent and Japan took the biggest drop, down 2.6 percent. APAC's 2.0 percent growth, which translated to about $224 million in sales, was enough to offset the other losses.

"Worldwide semiconductor sales in January increased significantly compared to one year ago, reflecting today's improving business environment for the industry," said SIA President George Scalise in a statement. "January and February of 2009 were the low point of the industry downturn as the semiconductor industry and electronics manufacturers quickly responded to the global economic recession."

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SIA Reports Chip Sales Up Slightly in January