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FEBRUARY 2019       TAP TIMES          -6-            Over the span of just four years (2004-
                                                                 2007), semiconductor shipments broke
                                                                 through the 400-, 500-, and 600-bil-
         Semiconductors shipped passed                           lion unit levels before the global financial
                                                                 meltdown caused a big decline in semi-
             one trillion devices in 2018                        conductor unit shipments in 2008 and


        SCOTTSDALE, Arizona—Annual semi-
        conductor unit shipments, including                      Sharp rebound in unit growth
        integrated circuits and optoelectron-                    Unit growth rebounded sharply with 25
        ics, sensors, and discrete (O-S-D)                       percent growth in 2010, when semicon-
        devices grew 10 percent in 2018 and                      ductor shipments surpassed 700 billion
        surpassed the one trillion unit mark                     devices.
        for the first time.
                                                                 Another strong increase in 2017 (12 per-
        This estimate is based on data presented                 cent growth) lifted semiconductor unit
        in the new, 2019 edition of IC Insights’                 shipments beyond the 900-billion level
        McClean Report—A Complete Analysis and                   before the one trillion mark was achieved
        Forecast of the Integrated Circuit Indus-                in 2018.
                                                                 The largest annual increase in semicon-
                                                                 ductor unit growth during the timespan
        1.142 units forecast                                     shown was 34 percent in 1984, and the
        As shown in the figure, semiconductor                    biggest decline was 19 percent in 2001
        unit shipments climbed to 1,068.2 billion                following the dot-com bust.
        units in 2018 and are expected to climb to
        1,142.6 billion in 2019, which equates to
        7 percent growth for the year.                           Shipments fell in 2008, 2009
                                                                 The global financial meltdown and ensu-
        Starting in 1978 with 32.6 billion units                 ing recession caused semiconductor ship-
        and going through 2019, the compound                     ments to fall in both 2008 and 2009; the
        annual growth rate for semiconductor                     only time that the industry experienced
        units is forecast to be 9.1 percent, a very              consecutive years in which unit shipments
        impressive growth figure over 40 years,                  declined.
        given the cyclical and often volatile nature
        of the semiconductor industry.                           The 25 percent increase in 2010 was the

                                                                                            growth across the
                                                                                            time span.

                                                                                            The percent of to-
                                                                                            tal semiconductor
                                                                                            shipments is fore-
                                                                                            cast to be heavily
                                                                                            weighted toward
                                                                                            O-S-D devices in
                                                                                            2019, at some 70
                                                                                            percent of total.
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