Trade Resources Industry Views Worldwide Investment on Semiconductor Is Expected to Increase by 10% in 2012

Worldwide Investment on Semiconductor Is Expected to Increase by 10% in 2012

US companies accounted for 57% of worldwide semiconductor R&D spending in 2011

Worldwide investment on semiconductor research and development (R&D) is expected to grow by 10% in 2012 to $53.4bn compared to $48.7bn in 2011, according to IC Insights.

The R&D spending will account 16.2% of chip companies' total semiconductor sales in 2012, which forecast to rise to $329.8bn from $321.4bn in 2011.

About dozen leading semiconductor companies have spent more than $1bn each on R&D in 2011.

Intel's R&D expenditures accounted 32% of the top-10 spending and about 17% of total R&D investment in semiconductor sector worldwide which included integrated device manufacturers (IDMs), fabless suppliers, and foundries.

Among the leading companies who had spent more than $1bn in R&D last year, Intel led with 27% increase in expenditures.

Qualcomm standing in fifth place has increased its R&D spending by 25% in 2011, while Taiwan Semiconductor Manufacturing (TSMC) raised investment by 23%.

According to the report Insights' Mid-Year Update, US companies accounted for 57% of worldwide semiconductor R&D spending in 2011, followed by suppliers based in Japan with 17%; Europe with 10%, Taiwan with 8%; South Korea with 7% and China with 1%.

The report IC Insights' online Strategic Reviews database shows integrated device manufacturers (IDMs) accounting for about 66% of R&D spending by semiconductor companies in 2011, while fabless suppliers represented 29% and pure-play foundries made up the remaining 5% of the total spending.

Source: http://microelectronics.cbronline.com/news/global-semiconductor-rd-expenditure-to-reach-534bn-in-2012-report-050912
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Global Semiconductor R&D Expenditure to Reach $53.4bn in 2012: Report