Semiconductor Distributors Enjoy Continued Growth of Resale Market

Semiconductor Distributors

Great news for American semiconductor distributors. U.S. companies lead in the semiconductor manufacturing equipment sector, accounting for 47 percent share of the world market. Over 80 percent of U. S. semiconductor sales take place outside of the U.S., and 84 percent of semiconductor manufacturing equipment sales take place outside of the United States.¹

Electronics production is growing at an extremely fast pace – ultimately creating a global need for semiconductor distributors. The supply is demanded for everything from smartphones, tablets, digital televisions, to wireless communication infrastructure, network hardware, computers and electro-medical devices.

The latest World Semiconductor Trade Statistics’ (WSTS) semiconductor forecast, strong demand and higher prices will bring about an increase in global sales and resales.

WSTS revised its forecast for 2017 and now says the global semiconductor market will increase 11.5% to $378 billion. In its original forecast for 2017, WSTS had said the market would grow about 3% in 2017 and then revised the forecast to 6.5% in February. For 2018, chip sales growth will slow to 2.7%.  But for now, many chipmakers are seeing double-digit sales growth.

Worldwide sales for semiconductor distributors will rise 11.5% in 2018 because of strong demand and higher prices for memory and other chips. Chipmakers, distributors, and industry analysts say growth is due to overall stronger semiconductor demand and increasing prices, especially for DRAM and NAND flash.

Since reselling semiconductors is now an option, telecommunications companies are getting outstanding returns – in fact, it’s such a great market that it almost has become a standard source of revenue.

AECI has a turnkey process for reselling semiconductor equipment for semiconductor distributors. We have spent years building a sales strategy that works specifically for this market – contact us today to learn more about how we can help regain value for your company and help you sell used industrial equipment!

Source: 1. International Trade Administration – 2016 Top Markets Report Semiconductors and Related Equipment