Industry predicts that semiconductor companies will usher in the tide of mergers and acquisitions

Upstream and downstream of China's instrumentation network industry According to an annual survey conducted by KPMG, a business consulting agency and accounting firm, the semiconductor industry leaders expect that the number of M&A cases in 2016 will be equal to or even more than 2015.

KPMG surveyed 163 semiconductor industry leaders from different fields in the world. Among them, half of the respondents (59%) expected M&A cases to increase in 2016, 34% believed that the number was comparable to this year; Eighty-three percent of respondents believe that the 2015 M&A case will exceed or equal to 2014.

When asked which regional markets had the most M&A cases, the United States ranked first (with 45% of respondents), followed by Asia Pacific (36%) and Europe (18%). The leaders of the semiconductor industry interviewed also listed three of the biggest challenges they believe their business will face next year: increasing research and development costs (45%), seeking technological breakthroughs (41%), and a decrease in the average sales price of products (40% ).

With semiconductor manufacturers seeing M&A as one of their revenue growth strategies, nearly three-quarters (71%) of respondents said that their company’s revenue will grow in the next fiscal year; 81%. In terms of product categories, business leaders' views are similar to those of the past, but they are slightly different from those of market research institutions.

Sixty percent of the leaders of the semiconductor industry expect that the microprocessor will be the product with the highest growth opportunities, followed by sensors and memory; the largest growth potential of the terminal application market is networking and communications (61%), followed by computing (52%). %) with cars (52%).

As for the most important application market for revenue, it is forecasted to be mobile phones and other mobile devices (60%), automotive sensors (54%), wired communications (49%), and automotive communication entertainment (48%). Regionally, China is seen as the most important region for revenue (49%) and employees (77%), followed by the United States.

The KPMG survey was conducted in September this year. 163 leaders of the semiconductor industry were interviewed and were mainly senior executives, including foundries, component manufacturers, and fabless semiconductor companies. Among them, 67% of companies have annual revenue of more than 1 billion US dollars.

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