GaAs firms sales to rebound in end-1Q14
Mavis Hong, Taipei; Jessie Shen, DIGITIMES [Monday 13 January 2014]
GaAs IC foundries Win Semiconductors and Advanced Wireless Semiconductor Company (AWSC), and GaAs epi-wafer supplier Visual Photonics Epitaxy Company (VPEC) are expected to see their sales rebound substantially at the end of first-quarter 2014, on a seasonal pickup in demand, according to market watchers.
The three GaAs firms had a particularly weak second half of 2013, mainly due to disappointing sales of high-end smartphones, the watchers noted. However, orders are expected to climb back up in March thanks to rollouts of new devices and growth in China's smartphone market, the watchers said.
In addition, several China-based handset component suppliers have started replenishing inventory in preparation for the upcoming Lunar New Year holiday season, buoying December sales at their GaAs IC suppliers, the watchers indicated.
Win Semi has reported consolidated revenues for December 2013 increased by a slight 1.7% on month, while sales at AWSC and VPEC registered more than 5% sequential growth. On an annual basis, the three firms all suffered double-digit decreases, however.
Win Semi announced consolidated sales of NT$10.48 billion (US$349.5 million) for 2013, down 6.7%, while AWSC's sales declined by a larger 33.8% to NT$1.07 billion in the year. Meanwhile, consolidated sales at VPEC slipped 4.4% to NT$2.15 billion in 2013.
— China Mobile, the world's largest mobile company, will begin selling iPhones in China this Friday. The company said that as of January 13, it had received 1.2 million pre-orders, CNBC reports. That's 60,000 per day since December 25. "It's a huge announcement...we're incredibly impressed with them, we have deep respect for them," Apple CEO Tim Cook told CNBC. "We see this as bringing the world's best smartphone to the largest and now fastest network in China."
In 2014, smartphones are expected to continue penetrating rapidly into emerging markets such as Russia, India, Indonesia and Latin America, while China's smartphone shipments will see weakened on-year growth in the year, but still enormous volume. This report will provide in-depth analyses to forecast whether global smartphone shipments in 2014 will maintain a growth similar to that of 2013 and what the global shipment scale will reach in 2014.