GaAs device market posts record revenues in 2013

Ongoing growth in cellular and Wi-Fi applications will continue to drive GaAs device revenues higher.  The recently released Strategy Analytics Advanced Semiconductor Applications (ASA) Forecast and Outlook report, “GaAs Industry Forecast: 2013- 2018″ and the accompanying spreadsheet model forecasts further growth in the GaAs device market in 2014, before competitive technologies and trends act to reduce the growth rates.

The wireless communications segment continues to be the largest user of GaAs devices. Strong demand in this segment helped propel GaAs device revenues up by 11 percent in 2013. GaAs MMIC devices, supplied by device OEMs like Skyworks, RFMD/TriQuint, Avago, ADI/Hittite, M/A-COM Technology Solutions, ANADIGICS, etc. make up nearly 98 percent of all GaAs device revenues. Competitive technologies like silicon and GaN will continue to capture market share from GaAs. This will put the brakes on the growth rate of GaAs device revenue and contribute to an expected decline by 2018.

Strategy Analytics ASA GaAs Forecast

“The GaAs device market has proven incredibly resilient in the face of threats, and manufacturers have been rewarded with nearly 10 years of uninterrupted revenue growth,” Eric Higham, Service Director, Advanced Semiconductor Applications commented. ”However, increasing market share for CMOS PAs, GaN and multi-mode and multi-band GaAs PAs will signal a new challenge to revenue growth in the future.”

The call to action has gone out to all the participants in the GaAs supply chain to provide innovation that will enable GaAs devices to fend off these challenges and continue the trend of revenue growth,” Asif Anwar, Director in the Strategic Technologies Practice added.

Extensive market models detailing the more than 30 market segments that utilize GaAs devices back the forecast.  The ASA service specifically focuses on the different semiconductor technologies like GaAs, GaN, InP, SiC and silicon that compete for end applications in the RF, optical and power electronics segments, resulting in the most robust market data in the industry.

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