Tuesday, May 19, 2009

China’s MCU Market to Suffer Double-Digit Contraction in 2009

Microcontroller Unit (MCU) consumption revenue in China will decline by 16.6 percent in 2009, due to weakness across most electronic product segments, according to iSuppli Corp.

China’s MCU market revenue will fall to $2 billion in 2009, down from $2.4 billion in 2008. MCUs are used widely in various types of electronic products in all application areas, including computers, consumer electronics, wireless communications and automotive. iSuppli predicts MCU demand will decline in all these areas, except for automotive.
As the economy recovers and electronic equipment demand rebounds, China’s MCU market will recover in 2010. iSuppli forecasts the nation’s MCU consumption will increase to $2.3 billion in 2010, up 11.3 percent from 2009.

Renesas remains on top in 2008
Looking back at 2008, Renesas of Japan remained the No.1 MCU supplier in China in 2008 with revenue of $180 million. The company’s leadership is largely due to its capability to offer customers the most competitive pricing on MCUs for the appliance and industrial market.

However, Renesas will face a more challenging 2009 because it focuses on the consumer electronics market, which is being buffeted by the economic crisis. iSuppli expects that Renesas will actively promote its 32-bit MCU business in the automotive and industrial electronics markets in China.

Freescale in 2008 took the second position in China’s MCU market, with revenue of $150 million. The company’s 8-bit MCUs are in widespread used in automotive electronics, measurement instruments and PC peripherals. Furthermore, the company’s ColdFire microprocessor architecture-based MCU is used widely in the communications and industrial markets.

Microchip ranked third, close behind Freescale with revenue of $148 million. Microchip is the giant of the 8-bit MCU market, but the company is gradually losing share in many applications, such as e-meters, security and white-good appliances. Atmel in 2008 lost market share in the 8-bit market, because it was mainly focusing on an internal reorganization in China. iSuppli predicts Atmel will rebound this year and begin to regain its market share in the industrial market.

No comments:

Post a Comment