October 7, 2011 – Another warning about semiconductor inventories, this time expressing concern about "unusually elevated" levels rising to a point similar to just before the beginning of the 2008 downturn.
Now, IHS iSuppli says global semiconductor suppliers rose to "an unusually elevated" 83.4 days-of-inventory, "a fairly large jump" from the 79.9 DOI in 1Q11 and the first above-80 DOI in three years. That’s 11% above the historical seasonal average, and close to the 11.1% oversupply seen in 1Q08 — right before the industry started its two-year slide, the firm says.
Two weeks ago Gartner issued a similar red-flag about chip inventories rising to a "caution level" indicating inflated levels and downward pressure on ASPs.
"Wading into such potentially troubling territory