November 5, 2009 – Betting on the continued impetus of an improving global economy, the Semiconductor Industry Association (SIA) has raised its previous outlook for semiconductor sales over the next three years, with a significantly better view on 2009.

The SIA’s previous forecast in June expected a -21% drop in chip sales in 2009 to $195.6B, followed by 6.5% growth in both 2010 (to $208.3B) and 2011 (to $221.9Bs).

The new forecast has cut the 2009 decline in half, to just an 11.6% decline to $219.7B; and 2010 growth is close to double the earlier prognostication, now eking into double-digit growth (10.2%) to $242.1B. And 2011 will be better than expected too, the SIA forecasts, with 8.4% growth to $262.3B.

In a statement, SIA president George Scalise, still emphasizing "cautious optimism," noted that the improved outlooks are closely tied to projections of continued improvement in the worldwide economy. Strong demand for PCs and cell phones (~60% of all semiconductor demand) provide enough confidence in the new marks.