Semico Updates Embedded Control Forecast

What are the driving forces for the growth foreseen in 2005 and beyond?

Semico Research Releases Report: Embedded Control 2005: 2Q Update

Phoenix, Arizona July 5, 2005 - Just as about everyone in the U.S. experienced fireworks on the 4th, or at the very least has at one point or another, most have used some gadget requiring embedded controllers. Embedded controllers comprise standard off the shelf microprocessors (MPUs), microcontrollers (MCUs) and various other devices with MPU or MCU cores. According to Semico Research Corp., the embedded control market continues to outpace the overall semiconductor market.

Improving economic conditions worldwide, lower ASPs enabling more penetration into new markets and emerging new standards are just some of the factors Semico says is stimulating growth. Though it is a separate market from embedded control, the PC market is an indicator of the overall health of the high-tech sector. According to Semico’s research Intel and AMD, the heavy hitters, are integrating more features in computing MPUs, thereby increasing silicon value. The computing market garners a great deal of attention due to the high level of dollar sales generated.

While the size of the embedded control market is smaller in terms of dollar sales, there is greater opportunity for multiple vendors. “Explosive in 2005, sales for embedded controllers will grow by 13.8% compared to 2% for the rest of the industry,” commented Tony Massimini, chief of technology at Semico Research Corp. “Growth has been driven in particular due to core-based products and MIPS and ARM showed considerable growth among its semiconductor partners.”

What are the driving forces for growth unforeseen in 2005 and beyond? What are the emerging applications that will fuel future growth? Which markets are growing and why? These are just some of the questions Semico’s latest Embedded Control 2Q05 report answers.

“The market for embedded controllers will hit $31.8 billion in 2005,” said Mr. Massimini. “By 2009, this market will surpass $52 billion,” he concluded.

This report includes market news and highlights including key licensee arrangements, who acquired who and strategic partnerships plus compares embedded control vs. computing. The grand finale breaks down the embedded control market by unit shipments, sales, architecture, end-use markets, sub-categories and memory type.

This study is available for immediate delivery for $3,500. To purchase, please contact Jim Feldhan at 602-997-0337 or jimf@semico.com and reference ML102-05, Embedded Control 2005: 2Q Update.

Semico covers the total Micro Logic market in a separate comprehensive report. To review the Table of Contents and Executive Summary for report ML101-05, Micro Logic Bulletin: Where Did All the Microprocessors go in 2004? please visit http://www.semico.com/studies/docs/toc586.pdf or contact Jim Feldhan for more information.

About Semico
Semico Research Corp is a semiconductor marketing and consulting research company located in Phoenix, Arizona. Semico was founded in 1994 by a group of semiconductor industry experts. We have improved the validity of semiconductor product forecasts via technology roadmaps in end-use markets. Semico offers custom consulting, portfolio packages, individual market research studies and premier industry conferences.

www.semico.com