India gobbling up chips to the tune of £5.8 BILLION
Mobile, LCD TV and PC production fuelling demand
India’s semiconductor consumption is set to grow 20 per cent this year to reach revenue of over $9bn – the fastest growing market in the world thanks to an explosion in mobile phone, LCD TV and PC production.
The new figures, which come from Gartner’s latest update to its Semiconductor Consumption forecast, reveal a booming economy driven by a growing middle class with a rising disposable income.
The growth of 20 per cent from 2011 to reach $9.2bn (£5.8bn) this year in India way outstrips global semiconductor spending of just four per cent to reach $313bn in 2012.
"Semiconductor consumption in India is being driven from the changing demographics, increasing consumer affluence, economic growth and favourable government policy," said Ganesh Ramamoorthy, research director at Gartner.
“Global electronic equipment manufacturing companies continue to expand their production facilities in India. The recent announcement by Nokia to move its mobile phone production facilities to Asia/Pacific is bound to benefit India as well, where Nokia already has a large production facility catering to the growing domestic and neighbouring markets in the region.”
Three-quarters of semiconductor consumption in India will come from mobile phones, PCs and LCD TVs with production of mobiles expected to jump 21 per cent, PCs seven per cent and LCD TVs a whopping 47 per cent, according to the analyst.
Alongside the likes of China and Brazil, India is making a name for itself as an epic consumer of technology.
IDC has predicted that it will leapfrog the UK into third place this year in the global smartphone market, for example, while Gartner also put it in third on the world stage when it comes to fastest growing enterprise software markets over the next four years.
A compound annual growth rate of 23 per cent in the period 2010-2016 will also propel the country into second according to new research from Boston Consulting Group on the internet economy. ®
ZOMG the sky fell!
A bit of an overreaction IMO.
*Wealth gaps are increasing globally (after taxation and excluding voluntary contributions mind!). The difference in Western countries is that the worse off are the middle class, and not below the breadline. In India, that $1.25 was less than a dollar, and the $250 million was a lot more.
*This has nothing to do with the caste system.
*True, all governments do. Over here in the UK they really need to get a clue. For a "developed" nation, youth unemployment is abysmal for eg.
* No India is independent, and free to choose her own destiny. The end of British imperialism is a victory in itself. And peaceful protest is as valid as ever.
* Big business is nowhere more alive than the West. That LCD TV you bought has made a global megacorp richer, but also created jobs. You have to give and take. At least in India, people are not swiping away and balance transferring themselves out of existence. There are also public private partnership structures that prevent NHS style fiascos.
So it's good that India is a democracy, people can vote for themselves.
Is India actually importing chips and making stuff, or are they all in Chinese made products ? India could be so much more than China - with both design and manufacture with a higher level of staff protection (as they have unions).
The worldbank.org cites India as having about 250 Million of it's people livining on under $1.25 per day. Basically these people have problems eating every day.
The Gartner group cite that there will be an explosion in India of the number of Mobile phones, telephones and gadgets in general.
Obviously we are not talking about the same sectorts here.
So what can we presume from this
* This Indian wealth division gap is further increasing.
* The caste system is stronger than ever.
* The Indian governement still have a lot of "thinking" to do.
* M Ghandi fought for nothing..
Big business and goverments are happy to see India as a new market to feed from and at the same time are capable of completely ignoring how they are adding to it's strife.