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Global tablet chip market to grow 35% in 2014

TAIPEI, Taiwan -- TThe market for micro processing units (MPUs) used in tablet computers worldwide is expected to grow 35 percent year-on-year in 2014 on solid demand for mobile communications devices, a research report said.

In the report, market information advisory firm IC Insights said the sales growth for tablet chips will be the highest among the 33 major IC categories it tracks but not as brisk as the 63-percent growth posted by the category in 2013.

The market research firm projected 7 percent revenue growth for the semiconductor sector as a whole, following 5-percent growth for the global market in 2013, the report said.

IC insights said the DRAM business is expected to post the second highest annual growth of any category at 23 percent because of the continued uptrend in average selling prices for DRAMs this year.

Higher prices helped DRAM sales grow 32 percent year-on-year in 2013.

IC Insights said MPUs used in cellphones will generate a 19-percent year-on-year increase in sales in 2014, making it the third fastest growing category, but the rise will be less than its 30-percent growth last year.

The industrial analog IC and NAND flash chip categories are expected to each see sales grow 12 percent this year, while 32-bit MPUs and display driver ICs should experience 10 percent growth.

IC Insights said the driver behind 32-bit MPUs will be a booming “intelligent car” market, offering such features as driver information systems, throttle control, self-parking and advanced cruise control.

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