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Smartphone demand is still expected to grow 4% in the IC industry this year
In the tech-detail-main section, you'll find a detailed product showcase with multiple image slides and thumbnails. The first image highlights a mobile phone crystal measuring 3.2*2.5mm, model 3225, with a frequency of 26M (26.000MHZ). The second slide features a single-chip microcontroller, STM32L151CCU6, known for its low power consumption and high performance. The third slide displays an integrated circuit (IC) design, while the fourth showcases the PJSRV05-4 component. These visuals are accompanied by a navigation bar with thumbnail images, allowing users to browse through the product details easily.
According to IC Insights, a leading research institute, the global IC market is expected to grow by 4% in 2016, outpacing TSMC’s forecast of a 2% growth for the broader semiconductor industry. Capacity utilization is projected to remain strong, ranging between 90% and 93%, with 12-inch fabrication plants achieving even higher rates—around 95%. This reflects the continued demand for advanced chips driven by smartphones, servers, and other high-tech applications.
The global economy is also playing a key role, with an estimated 2.7% growth rate this year, up slightly from 2.5% in 2015. This economic expansion is supporting increased demand for semiconductors, with IC shipments expected to rise by 5% in 2016. However, despite the positive outlook, fierce competition in the market may lead to a 1% decline in IC prices this year.
R&D investment in the semiconductor industry reached a record $56.4 billion in 2015, marking a 0.5% increase from the previous year. While this growth rate is the lowest since the 2009 financial crisis, it still represents a significant milestone. The top 10 IC manufacturers collectively spent nearly 2% on R&D in 2015, showing their commitment to innovation and technological advancement.
Intel remained the largest spender on R&D in the semiconductor industry last year, followed by Qualcomm, Samsung, Broadcom, and TSMC. Despite the slow growth, the overall R&D spending hit a new high, rising from $54.1 billion in 2014 to $56.4 billion in 2015. This trend underscores the importance of continuous innovation in maintaining a competitive edge in the fast-evolving chip market.