ITRI forecasts strong revenue from Taiwan chip packaging and testing industry in 2004

December 22, 2004 – Taiwan’s chip packaging and test industry will likely beat all of its rivals this year with an estimated revenue totaling NT$159.6 billion (US$4.9 billion), according to a government-backed market research organization, said the China Economic News Service.

Industrial Economics and Knowledge Center (IEK) of the government-backed Industrial Technology Research Institute (ITRI) pointed out that the 2004 revenue represented a 35.7% gain from last year. The center estimated that leading-edge packaging and test services highlighted by ball grid array (BGA) technologies would account for half of the Taiwan industry’s revenue this year, far higher than the world’s average 30%.

Leading Taiwanese packaging and test houses Advanced Semiconductor Engineering (ASE) Inc. and Siliconware Precision Industrial Co. Ltd. have acquired over 500 BGA bonding machines, respectively so far this year. W.J. Kuo, a market research fellow of IEK, estimated the domestic consumption of the materials to top NT$100 billion (US$3.1 billion) next year, but local suppliers could fill only a fraction of the number.

Taiwan’s packaging and test industry is estimated to have a 11.8% growth rate, to NT$178.1 billion (US$5.5 billion) next year.


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