July 10 ECIA Newsletter

Download PDF

Semiconductor Cycle Analysis and the Outlook for Renewed Revenue Growth. What Will Drive the Next Growth Cycle?

The semiconductor industry started its most recent revenue growth cycle as annualized revenue growth started to improve after reaching a low point in June 2016. At this point annual revenue growth had fallen to -4.8%. Driven heavily by strong increases in DRAM and Data Flash pricing, total annual semiconductor revenue growth reached a peak of +22.4% twenty months later in January 2018. Annualized revenue growth has been weakening for the past sixteen months as the semiconductor industry comes down the back side of the cycle. Once again, memory pricing has played a major role in the magnitude of the swings in the semiconductor cycle. However, all major component categories have been generally aligned in following the same growth pattern. By May 2019 worldwide revenue growth had just dipped slightly negative at -0.3% annual growth. Quarter-over-quarter growth fell to -14.6% in May 2019.
Key questions that electronics components supply chain executives need to answer are, "When will this current cycle end?" and "When will the industry see a return to positive growth?" The answers to these questions will form the foundation for management of product orders and inventory levels. Of course, planning must take place at the granular, individual product level. However, understanding the profile of the overall semiconductor market provides a foundation for the timing of more detailed decisions and actions that need to be taken in order to meet customer demand while balancing inventories.
The full ECIA Executive Analysis provides figures and tables detailing the semiconductor revenue cycle and its relationship to the overall economy. Growth trends are analyzed and expectations for renewed growth are presented. Market and technology forces are identified that will drive the next cycle of growth. Finally, recommendations are presented to provide guidance to participants in the electronics components supply chain as they manage the challenges presented by the continual swings in the semiconductor market.
To see the full ECIA Executive Analysis login to your "My ECIA" account and go to the Knowledge Center.
 
Want to hear the latest market news? Join us tomorrow July 11 for a webinar led by Dale on Dynamic Industry Forces: Analysis and Perspectives on the Electronics Supply Chain

Webinar: Worldwide Data Privacy Regulations

July 25th, 11:00 - 11:30 a.m. Eastern
ECIA is pleased to announce a comprehensive webinar series with The Trust Bridge, a consultancy that offers organizations a unique combination of expertise and independently accredited training around GDPR, PECR and e-privacy law.
Data privacy was reinforced in Europe with the introduction of the GDPR regulation in Europe in May 2018. Now this strengthening and awareness of the rights and obligations surrounding data privacy extends across the globe to North America, Canada, Singapore, Japan, Brazil and Thailand among others.  Companies need to be aware of managing and safeguarding personal data.
The first webinar will focus on Data Protection and Privacy now and what to expect on a global basis in the future.
Register today  for the first in the series and begin your regulation education.

Empower Your Sales Team with the Sales Professional Training Camp
Limited Space: 2019 Sales Training Workshops
Training continues to be a top focus of successful companies. Through your ECIA membership, you have access to a variety of training options throughout the year.
Join Don Buttrey, President of Sales Professional Training, Inc., for two and a half days of intensive sales training. Through Don's expert guidance, your sales team will gain the skills they need for strategic selling that drives results. Not only will they be expertly guided through The Four Pillars of the Sales Professional course, but registration includes training materials, a work binder and electronic course tools they can use for continued success.
The Sales Professional Training Camp is ideal for rookie and veteran sales professionals, managers and sales support professionals who want to improve their effectiveness and profitability.
The next session will be August 13-15, 2019 in Dayton, Ohio. Space is limited to 50 attendees, so don't delay! It's easy to register! Indicate your ECIA membership to secure the rate of $945.00.
Can't make this training? Another workshop is scheduled for November 12-14, 2019.

Did You Know? Members Have Many Professional Development Opportunities on ECIA Committees
As an ECIA member, you have many opportunities to join ECIA committees. Choose from Statistics and Industry Data to EIA Standards and Global Industry Practices. Create new connections and enhance your professional development all while making a positive impact in the industry.
Click here to learn more about the various committees and how to get involved. For general inquiries, please contact Debbie Conyers. We'll help you get involved!