cens logo

SEMI Statistics Show Chip Industry Expands for 5th Straight Month in Feb. 2014

2014/04/01 | By Ken Liu

North America-based manufacturers of semiconductor equipment posted a book-to-bill (B/B) ratio of 1.00 worldwide in February 2014 with received orders totaling US$1.29 billion, according to Semiconductor Equipment & Materials International (SEMI), a U.S.-based consortium of international suppliers of semiconductor capital equipment and materials.

SEMI President and Chief Executive Officer (CEO) Denny McGuirk pointed out that the ratio remained at or above parity for the fifth consecutive month, and the booking and billing values had stayed well above the figures reported one year ago. He added the healthy ratio had meant that equipment bookings and billings had continued along a steady trend in the first quarter.

A book-to-bill of 1.00 means that US$100 worth of orders were received for every US$100 of product billed for the month.

The three-month average of worldwide bookings in February is 0.7% higher than the final January 2014 level of US$1.28 billion, and 20.1% higher than the February 2013 level of US$1.07 billion, according to SEMI.

Its statistics show the three-month average of worldwide billings in February 2014 was US$1.29 billion, which is 4.5% higher than US$1.23 billion recorded in January 2014, and 32.2% higher than the February 2013's US$974.7 million.

Taiwan's industry executives pointed out that a reading above 1 suggests a strong semiconductor market and the industry is recovering. They felt that increased capital expenditure planned by foundry giant Taiwan Semiconductor Manufacturing Co. (TSMC) and heavyweight IC assembler Siliconware Precision Industries Co., Ltd. for this year help shore up the ratio.

They estimated the brisk smartphone market to inspire chip-making players as TSMC, Intel Corp. and Samsung Electronics Co., Ltd. to increase investment in advanced process technologies. Executives of equipment supplier Applied Materials Inc. noted that demand for chip-making equipment will surge when the chipmakers are migrating to 14/16-nanometer FinFET process technology from 28nm process. (KL)

SEMI statistics show steady recovery of global semiconductor market. (Photo courtesy of Applied Materials)
SEMI statistics show steady recovery of global semiconductor market. (Photo courtesy of Applied Materials)

                                       Unit: US$1 million

Billings
(3-mo. avg)

Bookings
(3-mo. avg)

Book-to-Bill

September 2013

1,020.9

992.8

0.97

October 2013

1,071.0

1,124.5

1.05

November 2013

1,113.9

1,238.0

1.11

December 2013

1,349.7

1,380.8

1.02

January 2014 (final)

1,233.2

1,280.3

1.04

February 2014 (prelim)

1,288.6

1,288.9

1.00

Source: SEMI, March 2014