Compound Semiconductor Industry to Spend $2 Billion

Strategy Analytics has predicted consolidation in the compound semiconductor industry, but industry player strategies have matured beyond simply buying competitors for market share. Companies now look for valuable intellectual property and opportunities to expand product portfolios into multiple new markets.

Detailed analysis of the recent acquisitions and other key events in the compound semiconductor industry can be found in the following regularly scheduled reports from Strategy Analytics covering compound semiconductor industry news, including microelectronics, optoelectronics and materials/equipment markets:

  • Intellectual Property and Product Portfolio Expansion Drive $918 Million GaAs Industry Spending Spree
  • Compound Semiconductor Industry June-August 2007 Review: Optoelectronics and Materials
  • Compound Semiconductor Industry June-August 2007 Review: Microelectronics

Despite the sub-prime lending crunch, acquisitions by ANADIGICS, Avago Technology, Philips, RFMD, TriQuint and others over the summer months approached $2 billion illustrating these trends.

“As deals have become more difficult to finance, firms are being forced to scrutinize each deal much more closely and use strategic financing to fund deals,” noted Asif Anwar. “The industry has learned to look for affordable gems with unique IP suited to products and strategies.”

About Strategy Analytics
Strategy Analytics, Inc. – a global research and consulting firm – provides timely insights and strategic business solutions to companies operating at the convergence of information, communications and entertainment technologies. With worldwide headquarters in Boston, MA, and principal offices in England, France and Germany, Strategy Analytics focuses on market opportunities and challenges in the areas of Automotive Electronics & Multimedia, Digital Consumer, Wireless Strategies and Enabling Technologies.