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Brisk 2010 GaAs Epitaxial Substrate Revenue Growth
30 Percent Growth Pushes Revenue Past $500 Million
Boston, MA - October 31, 2011 – As mobile handsets and network infrastructure become more sophisticated, gallium arsenide (GaAs) device usage in these applications is increasing. This demand is also driving growth in the consumption of GaAs epitaxial wafers that form the basis for these devices. The recently released Strategy Analytics GaAs and Compound Semiconductor Technologies Service (GaAs) Forecast and Outlook, “Markets for SI GaAs Epitaxial Substrates: 2010-2015,” forecasts that demand from commercial and military applications resulted in semi-insulating (SI) GaAs epitaxial substrate demand of slightly more than 29600 ksi (kilo square inches) in 2010. The forecast estimates that growth in GaAs devices will increase the substrate demand to more than 40200 ksi and revenues of $543 million in 2015.
This Strategy Analytics report forecasts that 6-inch GaAs epitaxial substrates will be the most prevalent, accounting for slightly more than 80 percent of total device demand over the forecast period. With cost sensitive, high volume markets dominating the demand for GaAs devices, the report forecasts a compounded average annual growth rate (CAAGR) of 9 percent for 6-inch GaAs epitaxial substrate demand.
“Strong growth in the overall GaAs device market in 2010 propelled the GaAs epitaxial substrate market to solid gains in 2010,” noted Eric Higham, Director of the Strategy Analytics GaAs and Compound Semiconductor Technologies Service. “The GaAs substrate market is tied closely to wireless communications and Strategy Analytics anticipates continued growth in these areas.”
Asif Anwar, Director in the Strategy Analytics Strategic Technologies Practice added, “We continue to see similar growth rates for MOCVD and MBE epitaxial substrate material and the ability to supply both types of material is solidifying IQE’s position as the largest supplier.”
This Strategy Analytics forecast segments the SI GaAs epitaxial substrate market by diameter, geography, structure, application, device type and supplier. The report also addresses trends and recent developments in these segments.
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