Supply chain
Digitimes Research: Taiwan IC design industry output value to rise 7% in 2016
Nobunaga Chai, DIGITIMES Research, Taipei

The production value of Taiwan's IC design industry is expected to increase 7.4% on year to NT$570.75 billion (US$17.4 billion) in 2016, according to Digitimes Research.

Device vendors have started to replenish inventory since March, while demand in China's smartphone market is picking up. The industry should be able to generate sequential growth in production value through the third quarter, Digitimes Research indicated.

Taiwan's IC design industry will continue to be led by MediaTek, which will have its Helio-series mobile SoCs drive the company's 2016 growth, Digitimes Research said.

Digitimes Research also forecast that the production value of Taiwan's IC design service sector will rise 6.6% on year to NT$21.97 billion in 2016. And buoyed by new orders placed by IDMs and system vendors, NRE (non-recurring engineering) as a proportion of Taiwan's IC design service companies' combined revenues will climb further in 2016.

Content from this article was part of a complete Digitimes Research Chinese-language report that has not yet been translated into English. If you are interested in an English version of the report or wish to receive more information about the report, click here to contact us and we will get back to you as soon as possible. Digitimes Research also provides quarterly tracking services for market sectors such as China Smartphone, China Smartphone AP, Taiwan ICT and Taiwan FPD. Click here for more information about Digitimes Research Tracking services.

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