OSD market on the road to recovery
1 min read
The market for optoelectronics, sensors, actuators and discrete semiconductors (OSD) is expected to grow by 8% this year, after two years of almost no growth.
IC Insights says economic uncertainty, price erosion, inventory corrections and pockets of excess production capacity resulted in a minor 1% increase in combined sales in both 2012 and 2013.
However, the market analyst believes things are now looking up, with total reveune predicted to reach a record high of $63.5billion this year.
Sales of optoelectronics are expected to rise by 9% to $31.6nn, with sensors/actuators climbing nearly 14% to $9.9bn and discretes recovering from a two year decline, increasing 6% to $22bn.
Looking ahead, total OSD sales are expected to show steady momentum until 2017, before reaching $86.4bn in 2018. This represents a compound annual growth rate of 6.4%.
The strongest growth drivers during the next five years are expected to be: high brightness LEDs for solid state lighting; laser transmitters for faster optical networks; MEMS-based accelerometers; CMOS imaging devices; and power transistors for hybrid and electric vehicles.
