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Written by Mike Buetow
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Wednesday, 06 September 2006 05:41 |
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EL SEGUNDO, CA — Nokia and Motorola will up their semiconductor spending by the highest percentage among the world’s
top-10 OEM chip buyers in 2005 and 2006, iSuppli Corp. predicts.
Nokia, the top seller of mobile phones, will boost
chip spending 15.1% in 2006, up from 12.7 %p last year. Motorola, which ranks second, is projected to increase semiconductor purchasing 14.5% this year from 20.7% in 2005.
The global average
increase in chip spending was 7% in 2005 and will be 7.7% in 2006, iSuppli says. Semiconductor spending among
wireless communications OEMs was 7.3% percent in 2005 and will be 6.3% in 2006.
Motorola's electronic equipment revenue rose to $32.6
billion in 2005, up 23.9% from $26.3 billion in 2004. Nokia's electronic
gear revenue increased $38.1 billion in 2005, up nearly 18%. By contrast, average electronic equipment revenue for all OEMs
tracked by iSuppli rose 8.3% between 2004 and 2005.
Lenovo posted the largest increase in semiconductor spending, at 265%, boosted by the acquisition of IBM’s PC
Group. This acquisition also caused IBM’s chip purchasing to decrease by
nearly 33% in 2005.
Apple Computer was second among OEM spenders in 2005 with a 140% hike, largely due to its strong iPod business.
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