The Hindu Business Line : Semiconductor industry trying new approach to development

On growth path
The semiconductor industry is projected to touch $312 billion from $228 billion in 2005. The market for mobile and wireless devices and electronic industry is projected to grow to $98 billion.

Hyderabad , July 23

The global semiconductor industry is poised for a shift in terms of its development. From a specific-application development model, it is shifting to a platform approach. This move is also being complemented by industry players taking to the consortium route.

This new approach is centred around three broad areas of applications — the convergent mobile devices, automotive applications and home entertainment segment, according to Mr Aurangzeb Khan, Vice-President, Cadence Design Systems, a $1.3-billion electronic design company.

This shift in terms of development approach has been necessitated by the increasing cost of development of semiconductors while prices have more or less remained flat over the last three-four years.

Spur for change

Speaking to Business Line at the Cadence Technology meet, Mr Khan said the semiconductor industry wasprojected to touch $312 billion from $228 billion in 2005. Of this, the market for mobile and wireless devices and electronic industry projected to grow to $98 billion and the developers were constantly working towards packing more features on the same chip. This meant the need for a platform-driven approach, where more features can be built instead of each chip providing a different functionality.