DRAM prices fell in May global chip sales fell 0.5% compared to April

American Semiconductor Industry Association (SIA), according to a report published by the May global semiconductor sales fell for second consecutive months, fell to $18 billion 50 million from $18 billion 140 million, 0.5% less than in April. SIA said chip sales in May increased by 4.1% over last year. The data released by SIA are three month moving average.

May chip sales decline, mainly due to the DRAM price slump. From various regions, European and Japanese chip sales fell 5.6% and 4.5%. The American market increased by 1.9%, while the Asia Pacific market will grow 4.7%.

"DRAM price than the 4 fell 6%, which is the main cause of the global chip sales decline." SIA President George Scalise said in a statement. "DRAM is one of the largest components of the overall semiconductor market, so the price changes in the field will have a huge impact on overall chip sales."

Unit sales of mobile phones continue to be higher than the earlier forecast, promoting the growth of semiconductor products such as DSP and analog chips."

He said, Bank of America Securities (Banc of America Securities) is currently forecast, 2005 mobile phone sales will grow 18%, reaching 795 million.

Nevertheless, chip market still tends to decline. April global semiconductor sales three month moving average was $18 billion 150 million, down $18 billion 430 million in March, compared with $1.2%, an increase of more than $6.9% in April 2004. March global semiconductor sales three month moving average was $18 billion 430 million, an increase of $18 billion 40 million in, compared with the same period in 2004, an increase of $13.2% in the same period in February.

After sluggish growth in the first half, is expected in the second half of the semiconductor industry will get rid of the doldrums.