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Valley focus: high-tech hardware sales, March

Compiled from Department of Commerce and semiconductor industry reports

Chip sales continue to climb for the third straight month. Worldwide semiconductor sales rose in March to $23.1 billion, up 4.6 percent from the previous month. Sales increased by 58.3 percent from the same month a year ago, according to the Semiconductor Industry Association. "Global sales of semiconductors set a new high for the month of March and were second only to the record sales reported in November 2007," said SIA President George Scalise. "Healthy demand from major end markets coupled with restocking to normal inventory levels contributed to strong first-quarter growth."

Chip market still climbing steadily. All regions posted a rise in chip sales in March compared with the month before. The European region reported the biggest increase of more than 7 percent. The Asia Pacific region, which includes China, had the smallest increase, of less than 4 percent.

Some Intel analysts express caution on the future of the chip-making company. Analysts generally have been impressed by Intel's better-than-expected sales and profitability over the past few quarters as its business has picked up after the recession. But some experts have expressed concern that the company may have become too dependent on sales of its brainy chips for personal computers, especially with consumers snapping up so many other types of computerized gadgets.

Book-to-bill ratio dips for first time in three months. North America manufacturers of machinery and equipment to make chips posted a 2.7 percent increase in sales from the month before to $1.29 billion in orders in March (three-month average basis) and a book-to-bill ratio of 1.19, according to the March 2010 Book-to-Bill Report published by Semiconductor Equipment and Materials International. A book-to-bill of 1.19 means that $119 worth of orders was received for every $100 of product billed for the month.

Source : mercurynews.com

 
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