Created by the analyst Bill Jewell ,Semiconductor Intelligence pointed out, the electronics industry is still optimistic at the second of 2011, but the agency will revise growth forecast of chip market in 2011 from the original 9% to 4%. Jewell said the reason of revision on the forecast is mainly because in the second quarter of 2011 the semiconductor market was weak, and this of course will pull down the entire annual market growth rate. Although many analysts believe the weak second quarter is because of the economic downturn in Western countries and the fear of the re-emergence of economic depression; but Jewell thinks decline of semiconductor market in the second quarter attributed to impact of semiconductor supply chain which 311 earthquake in Japan brought.
"The situation is not so bad" Jewell said, the mentality of consumers in some areas may allow the performance of a recession, but the overall consumer and commercial electronics spending are still strong. For example, spending in products and vehicles for entertainment of the U.S. consumer in the first quarter of 2011 and second quarter had growth of 75% and 15.3%, 75% of them were expenses of electronic products; also U.S. companies for equipment and software investment in the first and second quarters, respectively 8.7% and 7.9% growth.Jewell believes that for the chip industry, the problems faced by the second quarter is mainly Japan, the Japanese market has decline of 8.1% compared the first quarter, while the rest of the world are also affected, the chip market has decline of 0.9%.And Jewell said recently that several stock market-chip company's earnings forecasts are quite optimistic, such as Renesas Technology (Renesas) forecast at third quarter of 2011 chip sales (in yen terms) will rebound in growth of 23%, Intel,AMD and Qualcomm also forecast third-quarter earnings report, revenue growth is in the range of 7 to 11%, which is in line with normal seasonal levels. But Texas Instruments (TI) and STMicroelectronics (ST) earnings forecasts are more pessimistic, fear that at third-quarter revenue will have slight decline.